About this Show

Politics Public Policy Today

News/Business.

NETWORK

DURATION
07:29:59

RATING

SCANNED IN
San Francisco, CA, USA

SOURCE
Comcast Cable

TUNER
Channel 91 (627 MHz)

VIDEO CODEC
mpeg2video

AUDIO CODEC
ac3

PIXEL WIDTH
704

PIXEL HEIGHT
480

TOPIC FREQUENCY

Us 43, New Hampshire 31, United States 17, Joe Biden 16, Washington 14, Obama 11, Michelle 10, U.s. 9, Afghanistan 8, Michelle Obama 7, Iraq 7, China 7, Barack Obama 6, Florida 6, Charlotte 6, Portsmouth 6, Clinton Administration 6, Osama Bin 5, North Carolina 5, John Lynch 5,
Borrow a DVD
of this show
  CSPAN    Politics Public Policy Today    News/Business.  

    September 7, 2012
    10:30 - 5:59am EDT  

10:30pm
doing here. but i cannot go out and get a job. is from the lowest grass mulling job to manufacturing. they bring in brazilians, russians, israelis. i am not prejudiced year. host: i will let you go. he is talking about foreign labor pools. what do you know about that? guest: it is true. in the summer, if you go to -- i was just at cedar point in ohio. the workers that summer were all, it seemed virtually everyone i spoke to have an accent. that is true that many summer amusement parks for companies are bringing in students from other countries. host: cause they could not find labor here? guest: because of the lottery's.
10:31pm
a lot of americans would just like a summer job. it is tough to compete with the really beautiful 20-year-old from eastern europe. so, there are -- there certainly are a lot of companies bringing in labor from outside the country to do free-lance work. you know, it is a question of whether or not those kids are enhancing our economy or preventing people in america from getting jobs. host: geewax is the senior business editor for npr. you can fall over work on npr, obviously. >> tomorrow, discussion on the august jobs report. the president of the league of conservation voters discuss
10:32pm
energy issues. and a discussion on the state of u.s.-china relations. that is live at 7:00 a.m. eastern on c-span. in august, the unemployment rate was down and more than 95,000 jobs were added. the former chief economist at the labor department during the clinton administration says the economy remains weak with lingering effects of the recession. he is one of the economists to participated in an american enterprise institute program. this is about an hour and 20 minutes.
10:33pm
>> good morning, everyone. i would like to welcome you to the american enterprise institute. it might seem obvious, but now is a good time to reconsider the effectiveness of job-training programs. the housing bust and the financial crisis hit workers hard. is obvious to everyone that the economy in the labor market has yet to fully recover. but there are other reasons for concerns about the american worker, reasons that predate the financial crisis. let me mention two. there has been a downward slide since 2000. the rate of employment today is about the same as it was in the late 1970's and early 1980's, and that despite the enormous influx of women into the work
10:34pm
force in the intervening time. . -- intervening time period. real wage growth has been disappointingly slow for american workers for least the past 12 years. for these facts i have very briefly sketched do not add up to a picture of strength. instead they suggest millions of workers lack jobs and the kinds of skills that lead to good jobs. and the shortage of job skills is a source of considerable hardship for individuals and their families. the shortage of qualified workers also presents a challenge to businesses. in d, it means that many of our fellow -- indeed, it means many of our fellow citizens can not contribute as much to our economic vitality as they could. it would seem that job training would be very natural policy
10:35pm
response. the federal government supports more than 40 job-training programs. there is a handout out there that i hope you picked up on the way in that has basic information about these programs. unfortunately, it appears that many government job-training programs have limited value. in addition, few programs undergo the type but systematic evaluation required to judge what works and what does not. and most troubling, the current system does not have an effective means of shifting resources from less successful programs to more successful ones. so, that brings me to today's program. we have assembled a truly stellar lineup of speakers. they have a tremendous wealth of experience and i am very eager
10:36pm
to hear their respective. let me turn to my colleague, the director of economic policy studies. he will be our moderator for the first session. >> thanks. welcome, everybody. i think today's jobs report which showed 96,000 jobs were added in august more or less reveals the labor market is about where we thought it was yesterday, that it is very weak. there is an increasing number of discouraged workers in the labor force. the unemployment rate slipped down a little bit. that is a public policy challenge. we have a large amount of long-
10:37pm
term unemployment people that are separated from the work force better very hard to connect. i think it is also an area of public policy. this is part of the work sharing legislation that we have seen recently. i think this has a good chance of becoming law as soon as this can be crystalized. everybody is so eager to act. and i think today's conference will help people think about what we can do and what the challenges are going forward. and i am thrilled to have a chance to moderate this first panel. the first panel has two speakers. first is a presenter, larry katz. he is a professor of economics of harvard university. his research focuses on labor economics and the economics of social problems. he is also very well-known to
10:38pm
people here in washington because he served as chief economist of the labor department in 1993 and 1994. larry is going to talk about best practices in job-training programs and give us a perspective on what can work. the discussion -- harry joined georgetown in 2000 and served a substitute dean in 2004 and 2006. he is currently a senior research fellow at the american institutes for research. he is a senior affiliate of the national polity center of michigan. boy, this list is long. he is a senior fellow at the brookings institution and at the research for -- the institute for research on poverty in madison, wisconsin.
10:39pm
the fact that he has so many associations reveals he is a great source of information on this important topic and many people turn to him when they are thinking about the hard problems in economics. with that, i will hand it off tulare will begin with a 25- minute presentation -- tulare who will begin with a 25-minute presentation. -- to larry. that will give us 20 minutes or so for general conversation before our first break. >> thank you. i am delighted to be here. we have a wonderful group of true experts on job training programs that will be following me and speaking today. i will try to get a bit of a broader overview of the challenges of job training programs, and then some of the quick lessons of best practices and lessons from experience with
10:40pm
evaluating programs and with knowledge of individual behavior with standard economic models and individuals in training programs to try to think about our system and how it might be redesigned. there is a broad knowledge of economics and labor programs in the clinton administration -- in some senses i will try to give a bigger picture because i am not a true expert on the details of all the programs today. i just play one on tv. so, the way i would like to think about it is thinking about the issues concerning training employment programs, trying to include skills and job prospects for people who have lost jobs, people just entering the labor market, people struggling to make a middle-class income.
10:41pm
there are really i would say four major u.s. and job challenges that aspect the context that training programs offer. that affects how one should think about designing them. the first is, as kevin just said, we continue to be in a very weak labor market. the overhang of the financial crisis and the great recession is still with us. that was a major negative shock to the economy. we still have an above 8% unemployment rate. we still have a huge macroeconomics cyclical problem of weak hiring and aggregate demand. and basically, we need more job creation and that is important thing to keep in mind, thinking about what job training, education and employment programs into. they are not by themselves the
10:42pm
problems of the financial systems, the problems of debt overhang, the problems of cutting back the system, local governments. the macro economy will matter and it is going to matter in how effective programs are going to be. second, even if we could magically make the macro economic problems go away today, it instantly, we could create 11 million jobs for example. we would still have the overhang of what happened the last five years in the great recession. that is, we currently have a tremendous overhang of people who lost jobs that they had held for a long time, who do not necessarily have the information or the skills to increase employer demand. not only is unemployment high, but many people have dropped out of the work force. the duration of unemployment is
10:43pm
at record high levels. and we know from the work of people like steve davis and others that even when the economy recovers without help, is very difficult to make up if you have a long-term job. if you used to be an autoworker or a construction worker. what is coming back will not look exactly like that. you will need help. that is where job training programs can play a role. second, imagine we actually had not had the great recession or financial crisis. so, we did not have the overhang of the long-term unemployed. we did not have these young people try to enter the very weak labor market. we were back to 2007. as steve davis said, the world did not look so great to the labor market in 2007. that time was one of on modest recession, but very little
10:44pm
recovery. implement was falling. wages did not do very well. even if you go back before 2000, there was a time in the late 9 d -- late 1990's. we had decades of rising inequality, a shift in labor demand, away from jobs to places like manufacturing, away from what were traditionally skill jobs. whether it was manager, clerk, worker. there were large structural labor market problems even before the great recession in which education and training are very important parts with rising demand for certain skills. imagine that the last 30 years had gone very differently and we had expanded access to education. we had revitalizes american businesses. -- we had revitalized the
10:45pm
american businesses. we did not have structural changes. we would still be left with a very strong labor market without persistent changes and inequality -- there is still actually an important role. there is a structural change going on all the time. certain industries are rising. others are following. people losing jobs have difficulties. places need new skills, even in a well functioning, very tight labor market. young workers from disadvantaged families need help getting a first step in the labor market and building up skills. said the job training programs are going to be important even in a world with a very strong labor market. to reiterate, the first challenge we faced is we are not in this world of no overhang of long-term unemployment and no
10:46pm
structural change. action of a very large macroeconomic problem that remains. that is important in thinking about job training programs in several senses. first, if there are not any jobs out there, the best job training program by itself might have a little bit with these firms deciding how to hire people. but the first quarter, -- second, people come through a judge reprogram and are in some senses -- come through a job- training program are in some senses risky hires. this happens when employers have a large line of people applying for jobs. they need stronger connections and skills that match. every type of training program and employment program. you can go to all you want, but
10:47pm
it is difficult to get in the front door in that situation. the third reason why the microenvironment really matters and need to work there to make things more effective is what is known in the training program evaluation literature as displacement affects. or spillover effects. this is if you have a really good program that hooks up people with employers, but the number of jobs is quite limited. all you might be doing is playing a game of musical chairs. the person that is this training slots or job search assistance programs and filling out their resume may get a job just like this one. we're starting to know something about this process. in a remarkable recent study, not done in the united states, but done in france which is a modern labor market where i think there are some lessons. the code-talkers actually convinced the french government to do something i hope we can
10:48pm
convince our -- co-authors actually convince the french government to do something i hope we can convince our government to do, which is to experiment with widespread unemployment services programs and look at what the effects on the labor market are not just by randomizing an individual having access to the program, but breaking france up into different geographic areas of labor markets and providing 100% of the people access in some areas, in some areas , in some areas 55%, some areas 25%. if you do that randomly, on average, if you're in an area where a lot of other people use this program, does that have a negative effect on you? what they found is in tight labor markets, basically the programs really helped people get into jobs more quickly.
10:49pm
when the labor market is weak, is largely a game of musical chairs. one person getting a job makes another person have a more difficult time. thinking about the types of programs, things that help people more quickly move into a job are very beneficial when employment is expanding and once we get things out there. we need longer-term things to make a dent in these problems. that ought to be an important issue in thinking about the direction. seconds, as i noted, we have the overhang of the long-term unemployed, which is going to be very important in thinking about what we need to do with training programs. and we have the great recession that we are currently facing. we have the overhang of people who lost their jobs and we have a remarkably weak labor market
10:50pm
for young people. the non-employment rate for individuals from 16 to 24 is as high as we have seen it. one of the important things to note is the first years of the labor market are extremely careers. for people's there are a lot of things that look like turning, people moving from job to job. that is important. most and people go through multiple jobs, but about a third of earnings growth in one's lifetime happens in the first four or five years in labor market. we have had five really bad years. they have entered the labor market not just with high unemployment, but the job market that has become increasingly -- it is a well functioning, high- pressure labor market. not only is there not hiring,
10:51pm
but there is a lot of trimming. one person gets up opportunities to find a better job keeping that opens up their job for someone else to try and see if it is a good match. workers are scared to quit their jobs because there are not a lot of opportunities, so there's not a lot of useful, productive turn that gets people into the right jobs. -- useful, productive churn that gets people into the right jobs. and thinking about the great recession, what i would like to say is there are two things to think about. there is tremendous human cost. for experienced workers, this overhang of high employment is a serious problem and even when the economy recovers, we know rather 1980's recovery, we now have three decades of data since the early '80s where we have not
10:52pm
seen a strong employment system. one does not see people becoming whole who lost high-wage jobs. even decades later. once these people are on a lower trajectory. 1 also sees a large social consequences. held the effects. spillover effects on to their kids. there is wide ranging issues. this leads to stress and instability. that affects the next generation. there is an important issue about trying to improve opportunities even as we get a strong macro economic environment:. young people who started in a weak labor market also have persistent negative effects on their market outcome.
10:53pm
they are moving from job to job, improving the education. the other thing that happens with recessions and weak labor markets is young people make decisions that have permanent scarring effects on the labor market. people getting involved in crime. one open a research question is that has not happened very much in this great recession period. we are very lucky that our arrest rates have been going down. something very good is happening in the social fabric that it is not showing up in the social behavior is that we have seen in past downturns. that is one else signed. if we have the education and training programs and a stronger recovery, we may have less persistent negative aspects -- effects that we have seen in the
10:54pm
past. one other point i wanted to make before getting into the details of the job-training program is just how big is this macro economic problem of long-term unemployment that we still face? if you wanted to give back to where we were before the great recession hit, which i think is probably unrealistic because we were on a downward trend in the labor force. we would actually need 4 million jobs -- we are about 4 million jobs, 5 million jobs below where we were in 2007. that is an understatement because population does grow. we would need 11 million jobs. that will take many, many years. we will continue to have a large macro problem, even if you think the decline in labor participation we have seen it -- is picking up longer run aging and changes and things. we still would be more than four
10:55pm
or 5 million jobs. we will need a lot of macro expansion in order to make job training programs and education programs more effective. and then the final point, just to give context of the importance of this -- not only do we have the problems of long- term unemployment and young people having difficulty in the labor market today, but we have seen three decades of rising inequality, a hollowing out of the middle, the college age. the traditional jobs for the lower part of college and non- college population have been disappearing for decades. any training program is going to need to take in the realities of employing -- it is not just
10:56pm
unemployment itself these are just the basic facts. this shows you what happened to employment in the 1970's and 1980's. we have the inequality of labor demand. that is what that shows you. the red line shows you the last decade at the middle of wage distribution. the middle of the skill distribution. this is the lower half of the jobs with people that have some college. hi paid management jobs. construction jobs. middle management jobs. if you look at that middle -- it is recreating the jobs from the 1970's and 1980's.
10:57pm
this will have to go into the health technicians, the parts of manufacturing that still are there. this is serious vocational as well as serious sets of skills. there is certainly of vision -- it will not look like 1970's manufacturing jobs. it will look more like kraft, -- craft, artisanal. it is giving a sense of this is where employers are looking for things. is moving across jobs to be very important. this just shows you the
10:58pm
occupations are risk -- are declining even in a great recession. i will leave it to the leading experts to go into details. there are other things that we have learned from several decades of evaluating training programs, seriously evaluating random assigning programs. the first is that programs that integrate what employers are looking for -- they seem to be more promising. they have a very general set of skills. there are different types of
10:59pm
training programs. one thing i have looked at a fair amount about is the spectral important -- this is a public-private ventures. basically, there is employment involvement. these are things like becoming the help desk person for a corporation. there is a place in the bronx that i've visited. these programs that combine the shortages employees -- employers are looking for. it takes time. it provides not only training, but it provides placement and developing workers and finding
11:00pm
out what is the curriculum that employers are finding. traditional desktops are declining, finding more mobile testing. it becomes more important, combined with the life skills training. integrated programs, linking employers, community organizations, colleges. we are seeing 15, 20, 25 earnings per system for a couple years. other examples -- the jewish vocational services. they have been working health care jobs. we have had a number of different programs in a wide range. those are offices in san antonio and milwaukee. that is one that best practices model. the corporation is currently doing a good job evaluating longer-term look 7 number of
11:01pm
the sectoral employment missions. it seems to be a mission. it is again a mixture of contextual training within the workplace. even if they do not end up doing exactly that job. there is a remarkable one, the career academy. it is mdrc, integrating serious high school academic work. this is contextual learning with an employment, working in a loud, working in manufacturing. it is giving a sense of what you are learning in school gives you value in the workplace. it is not just a hospital lab, becoming a technician.
11:02pm
integrating what you're seeing in school with the workplace. 15, 20 years out, we are seeing gains. even people with management backgrounds. again, it combines a real training with a link to employers and what are things that are growing. third, there is long-term evidence of the job corps over several years evaluating people going into strong, intensive programs, residential environments. it can greatly affect their programs. it can be a substantial labor department outcome. again, a lot of integrated aspects. finally, the other interesting evaluation that i see tells us
11:03pm
there is an important role for training and education, a contrast from one evaluation i have been involved in. and there's another one called jobs plus done by mdrc. moving to opportunity is a long- term experiments. it can change environments. get people out of the poorest areas into middle-class neighborhoods with stronger job availability. it can affect the labor market outcomes by giving them closer to where the jobs are, getting them social connections, but nothing directly to change their training. to change their skills. may be their kids have a slightly different group of peers. it is great for improving people's health, improving their
11:04pm
safety, getting them out of the most dangerous, highest poverty areas. there are huge social benefits. it does not overcome into generational lack of skills, lack of labor market without having something directly added john. no economic impact. huge changes for 15 years. you need that. >> >> it gives them the ability to thrive. job opportunities directly not just -- it will be a tough one.
11:05pm
with everything about family structure, other socialist -- soaps -- sources of social problems. where are one to conclude is one other area where i think i can say something maybe a little bit different from the details of valuations. it started in the clinton administration. it moved away from a government monopoly version of public training programs. they were told this was the training program you go into to one that is driven by individual choice. we try to come on with a plan in a market of different providers
11:06pm
and voucher-type programs. that has many wonderful properties. . it has a lot of potential to operate well and not just have poorly functioning programs. if you have people who have medical systems, have interests may not work that great if you have no clue what you are doing. losing a job is a stressful activity. there are people who can make profits by providing you with mud -- what one not be the best training program in the world. we have the via route -- evaluated government training
11:07pm
programs on short-term targets. but we will need to do it as we move into this direction with a lot of potential and work on experimenting and make the work it -- market work better. it shows a little bit when you combine that with serious information attends at training. that is something that we will hear later. about how you can try to improve the structure of intermediaries. we are learning that having a market but trying to be a little more paternalistic in giving people guidance rather than selling here is the information, go out and make a choice. trying to help them and the
11:08pm
other mechanism by one to think about is we need to provide better information. there is evidence from randomized trials, throwing people out into the market with hundreds of alternatives and not easy information about what to take is a recipe for taking things that advertise and of the first door on the list. getting people better user- friendly information can have big impact. we have seen that in school, medical health plan choices, and we are starting to see that in some of the evaluation of job training. try into create a market for intermediaries. we have a lot of profit opportunities potentially in providing training programs and government-based intermediaries.
11:09pm
you can i imagine randomly assigning people who show up into the one-stop center and have a need for training and employment services to providers. they could be non-or for-profit. paying them on multiple year outcomes of moving into jobs, increasing earnings. this is not just a pipe dream of setting up a market for intermediates. a number of states have experimented with this. we have evidence this can work. a number of european countries for using private providers and long-term incentives to get them to create these incentives. germany has done similar things. i am skippable -- skeptical about using our traditional government ways of evaluating
11:10pm
programs on short-term incentives and targets. we need to create a better market, a great financial incentives for intermediaries to experiment and find the best training programs. the final piece is one missing piece as we think about going forward. this is where i want to conclude. we do not have a lot of evidence, there is logic. the best resources will not make up for the future earnings, losses, and disruption from losing a permanent, long-run job. when we think about social insurance, we have a system that pays you money to search for a job, then it runs out when you find a job. we help get skills. for many workers, even with
11:11pm
improved skills, there are many years in which the income will be far below. there is retrospective wheat unemployment. a lot of people look at their previous job and their identity in view of themselves changes. trying to reduce the sticker price shock of taking a new job and some of the losing the ability to pay your mortgage by using part of our social insurance and not just paying people while there are out of work but supplementing their income. this should be seriously on the table at least for older workers who we do nothing training programs will work. we have a huge overhang there. we have done a little bit of an experiment in here. that is an important area. we do not have a lot of evidence
11:12pm
on its effectiveness. the logic and psychology suggest in thinking about a social safety net going forward, using things in the same way we use the earned income tax credit to supplement low income workers rather than just paying people transfer payments to be out of work, thinking about things who help people who have been dislocated, who have paid into the insurance system should be an important item on the table. >> thank you very much. >> thank you. thank you to kevin and steve and the american enterprise institute for organizing this event and including me. barry katz has done his usual excellent job. outlining the major challenges that the u.s. labor market faces. it is a daunting list of challenges for the short and
11:13pm
medium term. as well as the long term. outlining that employment and training universe which seems to work based on research evidence. there is very little for me to disagree with. what i want to do is make one set of general comments about the label market -- labour market analysis, what it will look like going forward. that is some implications for what we do on the workforce side. i will focus less on traditional employment and training programs funded by the department of labe \or, and more about higher ed and community college. on the labor market peace, i agree completely with larry we have a large job deficit in the united states.
11:14pm
that will be true for some time. that is the biggest chunk in the increase of unemployment. a simple shortage of aggregate demand. as of larry and steve pointed out, aggregate demand is not the army -- only determinant of a job creation and job growth. compare the business cycle of the 1990's to the business cycle of the last decade. the labor market and jobs creations were weaker at every stage in the business sector. for every percentage of gdp growth, the top percentage was weaker. whenever forces were costing that weakness may be impeding the speed of this recovery. they may still be there when we get out of this aggregate demand problem by the end of this decade. economists do not have a big handle on this.
11:15pm
it has to do with technology and globalization and the effected workforce has may be doubled in magnitude of china, india, eastern europe and others. technology is making their technology -- making it more effectively available. none of us for the 1990's boom come. some of us are pessimistic about the strength of the upcoming labor market. i want to temper that with a different comment. i have a hunch that there is a chunk of employers who are on the margin but it comes to job creation. they may create jobs, they may not. certainly today. they are on several margins. if they are interested in job creation, how many jobs? what will the mix of those jobs the? what will be the organization of
11:16pm
the workplace? they have to decide where they want these jobs to be created, and the u.s. or overseas in which local labor in the -- labor market in the u.s. makes most sense. a lot of factors will affect those frigid affect those decisions. one factor is that the quality of the skills and american workers and the education of the workforce system in creating those skills. there was a case study in the washington post -- the seamen's corp. build a manufacturing plant for gas turbine engines in north carolina. it employs 900 workers. i heard the ceo talk about it. they could have built this plan to all of the world. -- plant all over the world.
11:17pm
they would not build it until they made a deal with the university of north carolina branches to push out a study scheme -- steady stream of engineers. there may be many employers who may be on some type of margin like this. if they have more confidence in the ability of the american workforce system to create skilled worker it's, maybe they would invest in those middle- skilled jobs. if you compare american employers to german employers, german employers have more confidence that their graduates have strong for skills and create a different mix of jobs. job creation -- none of this takes away from the problem of the keynesian -- keynesian
11:18pm
problem we have. it is interdependent with the skill of the american worker. that is an important piece.
11:19pm
11:20pm
11:21pm
11:22pm
11:23pm
11:24pm
11:25pm
they want to know. people go off to community
11:26pm
college need some type of labor ten fundedvices, off by wea. they seem to provide a lot of these services and that our cost effectively. most students in the community college system never get that kind of advice. maybe we need more co-locations. the services have to be provided. the services need to be based on good lipper market data. the quality of labor and market data is getting better. we can incorporate that into the counseling people get. we need to make the institutions more responsive and to make these funding streams more responsive to the demand side of the labor market. jeff smith and others have written about one performance
11:27pm
measures are poorly the sign, they do not -- poorly designed, they may lower their designs. this is something we need to think about. ingate employers more with community colleges. -- engage employers more with community colleges. in the past decades, 30-some states try to move in that direction. they tried to improve partnership to between community colleges and the industry associations. some of that is good news. it is hard to do what i am talking about. making this kind of systemic, institutional change takes a long time. you can identify nice, small models. replicating them on a large scale is hard to do.
11:28pm
larry highlighted c.e.t in the 1990's. the replication of force was a failure by most people. it is hard to take those models and nurture them and build systems around the farm. there is tension between general and suspect -- suspects -- specific training. in a dynamic world, where the labor demand is today may not be what it is tomorrow. it could take years to set up these partnerships. by the time you set them up, the labor market may have moved on to something else. but one size and not -- one size does not fit all. it is important to have problems like wea funding other kinds of
11:29pm
training and services for the people for whom community college is not the right answer. should we build a structure of experimentation? are we find? have we done everything we need to?
11:30pm
>> i did not go that much into that because jeff smith will talk about that in a little bit. it is a mixture. some of it is a good policy making by people in the department of labor and add hhs and hud as a set of new things as well as ongoing programs. it rigorous evaluation of what is working. -- it is rigorous evaluation of what is working. we have not been systematic. sometimes, it comes in legislation. we do a lot of welfare to work program evaluations. in the family support act of the late 1980's. the secretary of hhs could give
11:31pm
waivers to states that experimented if they were evaluated. a program i did was an outcome of the rodney king l.a. riots of 1992 when congress in the urban bill put a small amount of money for redress inoculations to help an arrest -- rigorous evaluations to help inner-city youth. when a certain issue comes up, a we would be better off by having an office of its nine leading programs. trying to systematically to a certain share parent with arborio about the current -- we have not experimented with weight insurance and how to replicate some of these programs. it should be a part of ongoing
11:32pm
systems. we ration access to programs. states were learning a ton of educations. our knowledge of charter schools come from the fact that small districts have set up the fact that if it is oversubscribed, you have to use a lottery. you take the lessons -- we have 100 charter school evaluations in new york, boston, etc. look at the aspects of the charter schools that were successful versus not. design a new intervention count of a sample that uses those elements and see if it replicates. we need a system that tells what specifically works. over recent decades, we are learning some of those things haphazardly. having won great person in the dol eta who decided in the 80's
11:33pm
to do reemployment bonus and unemployment insurance. when i came into the clinton administration in 1993, it was those experiments that have been done in the great the demonstration. they had not gone anywhere. we had great in mission -- we have great interest but needed a funding stream to come -- convince the congressional budget office. we needed to buy votes from nafta. it should not be so haphazard. we should have systematic evaluation some of the programs. setting things up like into meatus -- intermediaries such to ups exactly with what is working and not. >> i am not sure every program
11:34pm
should be evaluated. it takes time and resources. some are not quite ready for prime time. my guess is ppv evaluations. they pick three well-established programs. that is why they are hard to replicate quickly. you start with promising marvelous that have worked out the kinks. that is what part of the systematic process will be about. there is a program called isis with a look at a set of programs that seem to do well with welfare moms to create more self-sufficiency. if you spent years identifying promising program to four -- how to evaluate, that does not always occur. i have a fear that those programs were set up so quickly
11:35pm
that they will not find a lot of successful efforts there. that will lead us to question the whole value of these undertakings. for it may not be the approach but the quality of implementation. part of the systematic efforts its identifying the problems and practices that are ready for a good evaluation and figuring out how to replicate it. >> things are ongoing. you have to ration. if there are ways of using it. when you have hundreds of sites around the country, you can get around these by nancy's of having only the three that volunteered to do these diocese -- these biases of only having
11:36pm
the three adult volunteers. use that to designed and redesigned things, not just picking the one special program. ideally, we would have a system like that. >> community, which have capacity and resource constraints in this area. you did not talk about -- can you tell us about what we know about the processes arbitraging the shortcomings of the community colleges? >> i have been working on the for-profit higher education sector. i have a recent paper. harbert -- herbert's tells you
11:37pm
about what is going on. the title of the paper is "for- profit post secondary education -- nimble critters are out job predators'?" r agile predators." there is a market out there to get pell grants, student loans .o respond to employers' needs that growing sector is for- profit higher education institutions. they went from being about 4% and then late 1990's to being about 13%. they are important for the type of people who are at the margin of job training programs.
11:38pm
there are about 25% of all minority associates degrees coming through the for-profit sector. at one level, they have been innovating in education practices and online moaning. they moved in more rapidly to growing markets. the set of incentives the way the funding works in terms of basically 90% of the actual comes from federal money. the default rates are becoming astronomical. the advertising and moving people in, who this is exactly where markets have some difficulties with asymmetric information. we do not have a true experiment. if you do your best comparison to people looks similar, and go to for-profit versus not bursa's community college, they are
11:39pm
short, well specify programs, certificate programs. they are better to get people to complete and community college. they leave them with huge debt burdens. the income differences do not justify the differences in cost. there are paying for longer programs. they seem to be a disaster, strapping people with debt to are not finishing. this is when we are looking at people who are first-time students and dislocated workers. if you are a 35-year-old who completed two years of college and are well set up and want to finish up a bachelor's degree, they offer good programs. on this margin, we need to think about the way the funding of for-profit work in order to take advantage of the fact that they can be these nimble critters who
11:40pm
move into markets quickly without the constraints of public sector organizations. they spend 25% on marketing, more than $5,000 recruiting each student. a lot of resources are spent and a lot of the programs and not seem to work very well from our best evidence. over half of all current allied health to five people are coming out the for profits. the current financial incentives, whether a certain fraction of people defaults are not, no looking at the earnings, we need to look at contracts that reimbursed them on the performance of people. this is a large in terms of money. if default rates in non-payment rates and of the way they look at, this is more expensive to taxpayers than the entire
11:41pm
federal job-training system. >> thank you for that point. we have time for a few questions. wait for the microphone. please identify yourself before asking a question. make it a question, not a statement. we are on c-span. watch your language. you'll start over here. >> -- we will start over here. >> i am afraid it may be a statement. we to a lot of the research and experience -- experiments. there are a lot of basic collective. when we worked for the department of labor, it is impossible to get for academics. this should be made public so that lots more people can use it. it is funded throughn
11:42pm
affirmation. collecting survey data is what makes these experiments expensive. if that were available, that would be a help for research. the department of labour does give a lot of grants out. it would be great if they did an evaluation for this. they get a lot of freedom to organizations to do whatever programs they like. instead of -- it is too small to do a proper and vibration. is the time to be precise estimates of the impact. pool the programs -- they say there are five different promising practices. please implement one of those. then we could test them. they are too small with hundreds of different programs that are too small.
11:43pm
>> i completely agree. i used to use the ground will dead your senses has to begin with a w. -- i used to use the ground rule that year sentence has to begin with a w. please, try to keep it short. >> my name is ken. i am an analyst. a lot of the programs it is important to have a greater interaction between the training providers and businesses. in my experience, businesses tend to -- a lot of the wire program that came out of the sectoral programs were supposed to have businesses investing in some portion of job-training. it seems to me that is where the breakdown occurs.
11:44pm
businesses do not invested in the program. do you have ideas -- how we can convince businesses to be more interested in these programs, like apprenticeship programs. many businesses ran their own apprenticeships-like programs. general lecture at 1 in the 1917's. -- they endedt's that when they moved jobs overseas. they are looking for the government to do that. how do we give businesses more involved? how do we convince them that they need to invest? where should the apprenticeship program to located? who should be paying for them? >> there is good reasons for firms not to invest if the training is relatively general.
11:45pm
there is nothing like pure general. if employers have skepticism about the quality of the workers or how long they will stick around, there will be more reluctant to spend their resources. there is a question of how hard we want to push these firms and to what extent do we draw them away. a lot of these state level efforts for incumbent worker levels -- trains did not survive or will not survive the downturn. when the crunch comes, you look for the most marginal things to cut. there are these hard questions of which level of resources. the firms may be more willing to put in some cash if they had a good experience. they do not have to worry about
11:46pm
their competitor poaching on them. they are funding this together. having some public resources as well to find these things, coming up with a sustainable funding mechanism that can survive in bad times. >> we will move over this way. i am caroline. it larry mentioned the fact of middle-skill jobs disappearing. he mentioned the siemens plant in north carolina. we have people prepared and work with the partners there. we had a meeting on wednesday by the texas workforce commissioner to address these issues. he brought people from different industries.
11:47pm
one of the employers there was an executive from toyota. he was talking about an adequate preparation in our community colleges. they do not need people with bachelor's, but you are talking about electricians who said i went to community college and you have a 60-year-old and structure teaching the electrician courses the way they talk and 30 years ago. we need electronics -- the electricians that can fix robots into with complex systems -- and still with complex systems. we have 80,000 plus jobs that are going unfilled. as part of the reason that we are seeing these jobs because we have not invested in our community college systems for these types of trainings the
11:48pm
same way we have done at the b.a. level? better partnerships. can we do this? >> that is a very important question and point. be community college system -- we put money into it but a lot of it goes into pre-existing programs and a huge fraction of students in community college kids who rationed out of useful courses and end up in remedial in general studies. the market response is a lot of poor profits have moved into
11:49pm
these areas. without the sort of standing. have specific money for community colleges that would target infrastructure of building new programs and have been some competitions where you have to have an players buy into an area. -- employers to buy into an area. their argument is bringing in new instructors in those areas is more expensive per student. potentially, there is a federal role in some of them for shock trauma money. states need to rethink their funding. the mix of remedial and how we are putting people in their has has some recent work of columbia project from someone from columbia.
11:50pm
this is an area where there is a lot of potential for improvements in variations in practices across states. >> it is a classic problem in a publicly funded system. had he made that system responsive readout -- without creating distortion. that has to change. >> we will take about a five- minute break and my colleague will come back up and began the panel entitled the u.s. system of publicly funded job training. we will see you back in five minutes.
11:51pm
11:52pm
on these issues. there will not be much public movement. wiwe will see if there are some private negotiation that will occur behind the scenes to lay the foundation for the final negotiations, which everyone believes will occur almost immediately after the election.
11:53pm
>> on the six month manager, there is an agreement for a six month spending bill. you said six months. is there an agreement? what is the at dollar figure to attack that has been an issue out the sheer about what the level was. they agreed on a 1.047 trillion. house republicans wanted it below that. that was the number set in the 2011 debt ceiling agreement. once they've reached agreement, they decided they were able to walk in this deal. everyone believes this short- term measure will be passed. >> and the past, the short term measures sometimes have other items thrown into it. the president is likely to sign the bill. are there other issues that will be addressed? >> it is not really clear until you have the final package. there has been a strong sense
11:54pm
from the leadership. they want to keep business as clean as possible. they do not want to bring in an extraneous issues. this is the one thing they have to get done this fall. there will be a strong resistance to add items onto this bill. >> are there any other issues they have to get done before they take the break next month to head back home and campaign? >> there are a lot of issues that have been delayed in need to be dealt with. there is a drought relief measure that is stalled. there is a russian trade bill that belief is -- that is believed to be urgent to do. there is a separate security bill. there is a measure that is up for discussion. there are a lot of things on the table. it may be possible some of them are completed in the next couple of weeks. it is hard to see a lot will get down. >> john shaw, a congressional
11:55pm
reporter. thank you for the preview. >> thank you. >> we want to know what you think congress to work on. go to facebook.com/c-span to join the conversation. here are a few suggestions -- i would like to see them address their own huge salaries. given access to the public the same health care the representatives give. congress should address immigration control and passing a budget. pulling troops out of afghanistan and the skin -- and fixing the fiscal cliff. that is at facebook.com/cspan. in four weeks, the first of the presidential debates will be live on c-span, c-span radio, and c-span? the board.
11:56pm
.org. for >> thousands of new college students will arrive on college campuses. they are beginning an acute phase of their moral development. they will cultivate their beliefs about honor and integrity that will guide their behavior is for the rest of their lives. today's college students are tomorrow's business leaders, teachers, investment bankers, and the politicians. this is an opportune moment for our leaders to take the necessary steps to create a culture of honor. >> the n.c.a.a. is a cartel in the sense that it has artificial rules, agreed to by the schools, to penalize anybody, any athlete receives -- who receives one
11:57pm
nickel above the agreed stipend. that is significant. only 1% of the college athlete ever go pro. 99% of the athletes who have been devoting their lives to the sports and their bodies and our be up -- the college experience when they are generating money is the only opportunity in their lifetime to get a nest egg out of the value they are creating. it is enormous. >> when i talk to my students in my class, and we talk about the way in which it instructor -- is structured, i ask what do you think about that? they think it is a pretty damn good deal. they which they had the same deal that student athletes had.
11:58pm
>> there is more from this discussion on the ncaa and student athletes on saturday night. who shall you more from the university of virginia speech -- we will show you more on the speech from the university of virginia president. >> after the democratic national convention, president obama, vice president biden and their wives traveled to new hampshire. other speakers are speaking. this is one hour and 15 minutes. ♪ >> what a great crowd.
11:59pm
you all are terrific. i am glad you are here. that we are here to welcome the president barack obama, the first lady, michelle, the vice president, joe biden, and jill biden. to the greatest state in the nation. we are so excited to have the fab four in new hampshire. they have come here fresh off of their fantastic speeches in charlotte. this week in charlotte reminded
12:00am
us again how very proud we are to have barack obama as our president and michelle obama as our first lady. president obama is fighting for what democrats have always worked for -- an economy grounded in america as -- middle-class prosperity and an economy that is built to last. present obama knows this is a make or break moment for the middle-class. in order for the middle class to thrive, we need to restore the basic values of fairness and balance that have made this country so great. if you work hard and play by the rules, if you should be able to
12:01am
afford a home, send your kids to college, have a secure retirement, to know the next generation is going to be better off than this generation. found theseama's are our values. this president has had the courage to tackle some tough issues. he ignored the critics. he stepped up and rescued the auto industry. saving over a million jobs, 26,000 jobs right here in new hampshire's depended on the auto industry. he beat hill to don't ask, do not tell. -- he repealed don't ask, don't tell.
12:02am
so that you never again have to lie in order to serve the country that you love. he tackled emigration reformed. he made the tough decision to allow children who have grown up in the united states, who have been educated in our schools, to give them the chance to stay here. wouldn't we rather be known as a country of dreamers then a country of illegal aliens? as we saw last night, this is the commander in chief, who finally brought us some of the modern -- who found about o -- who finally balked osama bin laden to justice.
12:03am
that is presidential leadership. it even before barack obama was elected president, we knew he was one to be a great leader. we knew it when he chose joe biden as his running mate. joe is the perfect choice because like the president, he has lived the american dream, going from humble, and in the class rpts tp tje = = roots to the united states senate to the vice presidency of the united states. we all know from his incredible speech last night that he has been side by side with the president, fighting to make sure we open the doors of opportunity for all americans working to create good jobs and to invest in education to make health care
12:04am
and retirement and schools affordable for everyone. it is what he fought for his entire career. we know that joe biden is also a very smart person. we know this because we have met the women that he married. -- woman that he married. isn't she great? when she and michelle back together to support military families, they made this country so proud. they have made such a great difference for military families across the country. i have one problem with barack
12:05am
obama's choosing to buy in as his vice president. i never got to serve with him in the united states sent -- senate. i am proud to be here to introduce our vice president, a person who is one of new hampshire pose the greatest friends, who has been a great vice president, joe biden. ♪
12:06am
>> hello, new hampshire. folks! crowd: joe, joe! >> thank you, thank you. this woman is everything anyone could ever hope for a senator to be. and besides, she is my friend. i love you. thank you. billy, where are you? where is billy? there he is. i always kid withbuilly. -- kid with billy. it is good to be back. the't the basic --
12:07am
president incredible last night. doesn't it make you proud to be an american? folks, the president and i have become friends. i know this guy. he has courage and the missile, compassion in his heart and he has a spine of steel. there is not a day that has gone by in the last four years that i have not been grateful, not as a vice-president, but as an american, that this man has been our president. there is a simple reason why. i was asked last time buy. because this guy has the courage to make the tough calls and almost all the calls today are tough. ladies and gentlemen, whether it is on education or health care,
12:08am
medicare, and in the war in iraq. bringing an end to the war in afghanistan. we need a man with a steady hand and good judgment. the president is going to level the playing field and get a middle-class back in the game. it is already started. he knows in his gut the middle- class is what built this country and what made it great. he knows and he knows something our opponents either have forgotten or never knew. america is not in the kline. let me say again to our opponents. the gentleman, -- gentlemen, it has never been a good bet to bet against the american people.
12:09am
i have learned about this guy what you already know. he only knows one speed, one direction -- forward. ladies and gentlemen, speaking of the direction of moving forward, i want to introduce a friend of mine. a guy for whom i have an enormous amount of respect and integrity for his ability to read he also has had to make and has made the tough calls for new hampshire. an hampshire -- and new hampshire is much better off because of him. the-i am about to introduce -- the guy i am about to introduce, the state is better because of him. it is my pleasure to introduce my friend john lynch and the first lady of new hampshire, dr. susan lynch.
12:10am
get it out for them. -- give it up for them. ♪ got you and it's all i need. got you and it's all i need. ♪ >> the afternoon, everybody. -- good afternoon, everybody.
12:11am
what a great crowd. we are delighted to be able to join you today. hi. [laughter] and we are honored to have president obama and our terrific first lady, michelle obama, here with us as well. and you have heard from vice president joe biden and also his great wife dr. jill biden is also here with us today. [applause] i am sure they like north carolina but we know they love new hampshire. [applause] new hampshire is a key to the reelection of the president and vice-president. and we will again show this
12:12am
knows that hampshire's how to tickle -- new hampshire knows how to pick president of the united states. this upcoming election is still important to our state and to our nation. but before i talk about the election, i just have to say it again. in new hampshire, lift in the greatest state in the greatest country in the world. we are the safest state in the nation, one of the most livable states and the best state in which to raise children. we have one of the lowest unemployment rates, one of the most highly educated work forces and we are one of the healthiest states in the country.
12:13am
and we are a great state. because over the decades, we have worked together. democrats, republicans and independents, to craft a successful economic strategy that has made us a national leader in almost every area. we have worked together to move new hampshire forward. president barack obama understands that america works best when we all work together. and over the last few years, the spirit of cooperation has been largely missing from public discourse. and partisan bickering is at an all-time high in washington. this year's debate is important. our citizens expect all of us to behave with dignity and with respect.
12:14am
president obama understands that the people expect their elected officials to work together to make progress on the issues that matter most to them. improving education, increasing access to health care and getting more of our people back to work. that is why we need to work hard to ensure that we reelect president barack obama. what makes the president such a strong leader is that he cares about people. he understands that as a leader, you treat people with dignity and with respect. he i understand -- he
12:15am
understands the value of honesty and integrity. he understands that america should be a place of opportunity for all of our people and not just a few of our people. that is why his strategy for moving our country board is focused on investing in our greatest asset -- moving our country forward is focused on investing at the dark greatest asset, our people. that you can get the health care you need when you are sick, that your kids get the best education possible. and that the american dream continues to be in the reach of everyone who has a desire to want to work hard, to reach that american dream.
12:16am
making smart investment in our people will help to continue to lift this nation out of the economic recession and to continue to move us forward. president obama has declared -- a clear vision for america and he has a passion, the commitment and the leadership to get the job done. nearly five years ago, our mission began to experience the worst economic crisis since the great depression. think about it. the worst economic crisis since the great depression. make no mistake, this recession was devastating to families and businesses across our great nation. our workers lost their jobs at companies shut their doors. to many families lost their homes, their health insurance, and their savings. we were hurting and searching for hope. here is with the president made the tough decisions and provided
12:17am
the leadership that not only rescued the nation from the brink of economic disaster but now has us moving forward. the president's economic policy cut taxes for the middle-class, ensuring that every working family in america receive a tax cut. he worked to extend much needed unemployment benefits. his actions help 1 million families avoid foreclosure and allow them to stay in their home. he took action to save the american auto industry and look at the results today. and he made it a tremendous investment in our nation's infrastructure.
12:18am
all these policies that people working, held economic disaster at bay and began a recovery. because of his leadership, we have come a long way in just four years but we have a long way to go. is there more work to be done? of course. but that is why we need president obama to continue the job he started and keep working for us for the next four years. crowd: four more years! president obama will make sure we have a strong middle-class. president obama will keep investing in our workers to grow our economy and our middle- class he will insure that we are caring for of our most vulnerable citizens, those with
12:19am
disabilities, seniors. president obama will make certain our children receive the best education possible. he will continue to ensure that anyone who wants to work for it can still reach the american dream. now, first lady michelle obama, who gave a great speech at the convention -- she said so well. she said the president believes that when you have worked hard and done well and walked through that doorway of opportunity, you did not slam it shut behind you. you reach back and give folks the same changes that help you succeed. i say we keep that door open by
12:20am
reelecting barack obama. now it is our pleasure and our honor to introduce the 44th president of the united states of america, president barack obama. ♪
12:21am
>> hello, new hampshire. it is good to be backed -- to be back. it is great to be with your outstanding governor, john lynch. who, like me, have the good judgment to marry up. love susan as well. one of the best centers in the country, jeanne shaheen.
12:22am
your mayor, eric's year. an index congresswomen -- and your next congresswomen. it is good to see all of you. it is great to be back in portsmouth. i was telling john that -- i love you back. i was telling john that i will always have great memories here because one of the things that happens as you are running for president is the bubbles are closing in on you. so i still remember some of the last places where i got to take a walk with nobody around. here in 2007, it was a gorgeous day like today. we walked and became right down here.
12:23am
there was a theater, an improv thing going on. i sat there and i might have brought some ice cream. which reminds me -- malia and sasha of new hampshire because this is not only were they good to camp but with a first campaign with us and the first day of campaigning, they got ice-cream four times in a row. so they turn to michelle and me and they said we love this campaigning thing. we want to campaign with you all the time. [laughter] i just came from charlotte where we had a great convention. folks down there could not have been more welcoming. michelle was amazing.
12:24am
president clinton made the case in the way only he can. somebody emailed me after his speech and did you need to a appoint him secretary of explaining stuff. [laughter] that was pretty good. i like that. secretary of explaining stuff. joe biden was fired up. and the metal -- meant what i said. i cannot have had a better vice president. i cannot ask for a battle --
12:25am
better and more loyal friend and joe biden. he is a wonderful man. last night i did my best to lay out the stakes in this election. now that both sides have made their arguments, there is a big choice to make. i honestly believe this is the biggest choice, the clearest choice of any time in our generation. because it is not just the choice between two candidates or to political parties. it is a choice between two different paths for america. two fundamentally different visions for how we move forward. ours is a fight for that basic bargain that built the largest middle-class and the strongest economy the world has ever known. the promise that hard work will pay off and responsibilities will be rewarded, that everyone gets a fair shot. everybody is doing their fair share, everybody is playing by the same rules from wall street to main street to washington,
12:26am
d.c. that basic bargain is why i ran for president and that is why i am running again. that is what this election is about. that is what this election is about. i mentioned last night -- i got my start in service because i worked with folks who had been laid off from build a plant that closed when jobs started getting shifted overseas. -- shipped overseas. over the last 10 years, we have seen that happen more and more. to many families struggling with costs that keep rising even when paychecks do not.
12:27am
so people have to use their credit cards or home equity loans just to try to make the mortgage or pay tuition. or protest in the car or food on the table. -- or put gas in the car or food on the table. millions of innocent americans losing their jobs and homes, folks losing their life savings. we are fighting to recover from that. it is a long, tough journey. but our friends at the republican convention, they talked a lot about what it thought was wrong with america. they did not tell you what was right. they did not tell you what they do to make it right. they want your vote but they do not want to show you their plan. that is because they know their plan will not sell. that is because all they have to offer is the same prescription they have had for the last 30
12:28am
years. tax cuts, tax cuts, gut some taxlations, og, anh, and more cuts. tax cuts when times are good. tax cuts 1 times are bad. tax cuts to help you lose a few extra pounds. tax cut to help you improve your love life. it will cure anything according to them. let me tell you something -- [applause] i have cut taxes for people who need it. middle-class families, small- business owners. in 2008, i promised i would cut middle-class taxes. i have kept that promise.
12:29am
i have kept that promise. we cut taxes for small businesses 18 times. but i do not believe that another round of tax breaks to millionaires -- for millionaires will pay down our deficit. i do not believe firing teachers or kicking students off financial aid is going to grow our economy. not when china is producing more engineers and more scientists and we have to compete with them. we were on the brink of financial meltdown because of irresponsible decisions made on wall street. i cannot believe that rolling back regulations there will somehow help small-business men expand or laid-off construction workers get back to work. we have been there. we tried what they are selling. it did not work then, it is not
12:30am
going to work now. we are not going back. we are moving forward. that is why all of you are here today. i am not going to pretend that this pass is quick or easy. and by the way, i never had. as bill clinton reminded us on wednesday night, it will take more than a few years for us to solve challenges that were building up over decades. we know that. today we learned that after losing around 800,000 jobs a month and i took office, business once again added jobs for the 30th month in a row. a total of more than 4.6 million jobs. but that is not good enough. we know it is not good enough. we need to create more jobs fast. we need to fill the hole left by this recession faster. we need to come out of this
12:31am
crisis stronger. there is a lot more that we can do. when congress gets back to town next week, you need to send a message -- give middle-class families and small businesses the confidence of knowing that their taxes, your taxes, will not go up next year. everybody agrees we should not raise taxes on the middle class. let's get that done. let's get it done now. by the way, at the republicans are serious about joblessness, we can create 1 million new jobs right now if congress would pass a jobs plan i sent to them a year ago. dr. teachers, construction workers, folks who have been looking out for work for a long time. we can do that. but i need your help.
12:32am
i need your voices. i needed to get your cousins and your friends, your co-workers. i am not is asking for your vote. i am asking the entire country to rally around a set of goals. for our country. goals in manufacturing, energy, education, national security and the deficit. this is an achievable plan that will lead to new jobs and more opportunity and we build this economy on a stronger foundation. that is what we can do in the next four years. that is what i am running for a second term as president, to finish the job, to keep moving forward. to build up the progress we have made. let me be more specific. first, i have a plan to export
12:33am
more products. not out for jobs. after a decade of decline, this country created over half a million manufacturing jobs in the last four years. we have reinvented the dying ought to industry -- auto industry. we have a choice. we can keep giving tax breaks to companies that ship jobs overseas or we can start rewarding companies that are investing right here in new hampshire, putting americans back to work. selling products around the world. we can help big factories at small businesses -- exports. we can create a million new manufacturing jobs in the next four years. you can make that happen. but i am going to need your help. i have a plan to control more of our energy.
12:34am
after 30 years of inaction, we raised fuel standards so that by the middle of the next decade, your cars and trucks will go twice as far on a gallon of gas. that will save you money. we have doubled our use of renewable energy. solar, wind, biofuel. and tens of thousands of americans have jobs today because they are building wind turbines and long-lasting batteries. the other side like to talk about energy but they did not mention that the united states of america is less dependent on foreign oil than at any time in nearly two decades. the other side wants to reverse the progress. i want to build on it. i am not going to let oil
12:35am
companies dictate the country's energy plans. and i cannot want them to keep collecting $4 billion a year in corporate welfare from our taxpayers. we have a better path. we want to keep investing in wind, solar, clean coal technology. we want to see farmers and scientists harnessed new biofuel to power our cars and trucks. i want construction workers who are sitting home right now, i want them building homes and factories that weighs less energy and retrofitting those that are already built to save energy. we can develop one -- a 100 year supply of natural gas. we can cut oil imports in half by 2020. we can support 600,000 new jobs in natural gas development alone. that is how we move forward.
12:36am
third, let's do it. let's do it. we can do this. we can do this. third, i have got even more. [laughter] moregot a plan to give americans the chance to gain the skills they need to compete. education, i would not be standing here if i had not gotten a great education. michelle would not be where she is without the opportunities that were given. she told you on tuesday night, we did not come from wealth or fame or power. but in this country, we have always made a commitment that if you have talent and are willing to work hard, somebody is going to give you the opportunity to get a great education. then you can go as far as your
12:37am
dreams can take you. it is the gateway to a middle- class life in the 21st century. so what have we already done? nearly every state has entered our call to raise standards for teaching and learning. some of the worst schools in the country have already seen real gains in math and reading. millions of students are paying less for college today because we took on a system where $60 billion was going to banks and lenders as middlemen for the student loan program, we said let's cut out the middleman and give that money directly to students so they get a better deal. so now you have a choice. we can gut our commitment to education like the other side's budget would end up doing or we
12:38am
can decide here in america, no child should give up her dreams because a classroom is overcrowded or a school was crumbling. no family should set aside that college acceptance letter because they figured they cannot afford it. no company should be looking for the workers they need overseas because they cannot find them here at home. new hampshire, i need you to help me recruit 100,000 math and science teachers and improve early childhood education. and give 2 million workers the skills they need at community colleges and help colleges and universities cut tuition in half over the next 10 years. we can meet these goals together. that is the america that we want for our kids. forward. i need four more years and we are going to move forward.
12:39am
4th, my plan will reduce our deficit without sticking it to the middle class. the debt in the deficit are real medium and long-term problems and we are going to have to address it. i want to get working. independent analysis shows that my plan would cut our deficit by $4 trillion. i have worked with republicans in congress already to cut $1 trillion in spending and i am prepared to do more. i want to reform our tax code. so that it is simple and fair and so it asks the wealthiest households in america to pay higher taxes on incomes over $250,000. even well-to-do folks would still keep their tax breaks up to $250,000 but after that, we
12:40am
want to go back to the same rates we have a bill clinton was president, our economy created 23 million jobs not -- then. we created a lot of millionaires to boot. we did not punish success. we created an environment for greater success all across the economy. that is what we're fighting for. my opponent says he wants to reduce the deficit. too. but as was pointed out at the convention, there is a basic component missing from his plan -- math. arithmetic. when governor romney and his allies tell us we can somehow lower our deficit by spending
12:41am
trillions more on new tax breaks skewed toward the wealthy, the math does not work. you cannot dig yourself a deeper hole. you cannot take $5 trillion out of the treasury and then say you are going to close it. and when you ask him how are you going to do it? they will not answer it clearly. there are only a few ways of doing it. and most of them involve sticking it to the middle class. i refuse to ask middle-class families to give up their deductions for owning a home or raising kids just to pay for another millionaires' tax cut. i refuse to ask students to pay more for college or to children out of headstart programs or eliminate health insurance for millions of americans who are poor, elderly, or disabled. also folks like me and mr. romney can pay less.
12:42am
i will not turn medicare into a medical doctor system. you should not have to spend your years -- golden years at the mercy of them. you have earned it. yes, we need to reform and strength and medicare for the long haul but we have to do it by reducing the actual cost of health care. not by dumping those costs onto seniors to end up paying thousands of dollars more. that is not how we are going to do it. we will keep the promise of social security by taking the step to strengthen it but we will not privatize it or turn it over to wall street. rebuilding the economy is essential but our prosperity at
12:43am
home is linked to what we do. four years ago, i promised to end the war in iraq and we did. i said we would wind down the war in afghanistan and we are. in new tower rises above the new york skyline. we have estimated al qaeda's leadership and osama bin laden is dead. -- decimated al qaeda's leadership and osama bin laden is dead. now we are moving toward. as commander in chief, i will sustain the strongest military the world has ever known. we are going to make sure we have a strong navy and what goes on here at the yard and across the country where we have people in uniform and folks working, we have to make sure they have the support. when our troops take off their uniforms, we are going to serve them as well as they have served
12:44am
us. because nobody fights for this country should ever have to fight for a job or a roof over their head when they come home. my opponent said it was tragic to end the war in iraq. i disagree. he will not tell us he will and the war in afghanistan. i have and i will. well my opponent would spend more money on military programs that are not making a saber and we do not need, i will use that money we are no longer spending of more to help pay down our debt and put more people back to work. rebuilding our roads, bridges, schools, runways. it is time to do more nation- building right here at home.
12:45am
that is what this election comes down to. we keep on getting told that bigger tax cuts, fewer regulations, that is the only path to prosperity. and that government, because it cannot do everything, some house and almost to nothing. i do not believe that. i do not believe that if you cannot afford health insurance, you are on your own. that company's release toxic pollution in the air that your children breathe, that somehow that is a requirement for economic growth. i did not believe that if you cannot afford to go to college, the best we can do is tell you to borrow money from parents. that is not who we are. that is not what this country is about. we insist on personal responsibility.
12:46am
we sensed -- insist on individual initiative. we know we are not entitled to success. we know we have to earn it. we honor entrepreneurs and dreamers and the risktakers. we know that as the driving force behind our free enterprise system. but we also know that this country is built on an idea of citizenship. the idea that we have some obligations to each other. and that when we work together, we all do better. we have obligations to future generations. that america's not just about what can be done for us, it is about what can be done by us, together as one nation and one people. the election four years ago was not about me. i told you that last night.
12:47am
it was about you and it sounds like maybe you were listening because you are here. you are the reason there is a little girl with a heart disorder who gets the surgery she needs. because now the insurance companies cannot limit her coverage. you are the reason some young person out there is going to go to medical school. you're the reason i young immigrant who grew up here pledged allegiance to our flag is not suddenly going to be deported from the only home they have ever known. you are the reason why we were able to end don't ask, don't tell. you are the reason why thousands of families have been able to welcome troops, saying welcome home. you get that.
12:48am
we cannot turn away now. you can i give up on the idea that your vote makes a difference because if you do give up, than the lobbyists, the special interest, they will fill the void. the folks who want to tell you who you can marry or tell women that they cannot make decisions about their own health care. that is who will fill the void. if you are not in this. if you're not engaged, and you're not focused. if you're not fighting we are going to have to work because this is going to be a close election. only you can make sure that we do not go back.
12:49am
only you have the power to move us forward. but i am asking you to use that power i'm asking you to use that power. i'm asking you for your help. new hampshire, i need to make some phone calls for me. i need you to knock on some doors for me. i need you to tell your friends and neighbors, co-workers what is at stake in this election. if you're not registered to vote, i need you to register right now and i need you to turn out in november because if you do, we will finish what we started we will generate more homegrown energy, hire more good teachers, said more young people to college, bring more trips home, take care of more of our veterans, open up the doors of opportunity. to everybody who is willing to work hard.
12:50am
u.n. -- we will win new hampshire, and is what we started, and remind the world by the united states of america is the greatest country on earth. thank you. that was the. and god bless america. -- god bless you and god bless america.
12:51am
♪ we take care of our own.
12:52am
♪ ♪
12:53am
12:54am
12:55am
12:56am
12:57am
12:58am
♪ ♪
12:59am
1:00am
[captioning performed by national captioning institute]
1:01am
[captions copyright national cable satellite corp. 2012]
1:02am
1:03am
1:04am
1:05am
1:06am
1:07am
>♪
1:08am
1:09am
1:10am
1:11am
1:12am
1:13am
>> mitt romney is at a campaign in orange city, iowa. >> thank you. it is great to be back in
1:14am
northwest iowa. it is truly god's country.
1:15am
1:16am
i want to say, thank you for giving him renaults and by 88% of the vote in the last election -- camera -- kim reynolds and i 88% of the last election.
1:17am
thank you for coming out to hear the next president of the united states, mitt romney. this week, democrats catcher -- gathered for their convention. they struggled with one question -- that really matters to americans, are you better off in your four years ago? are you better off under this present and you were four years ago? >> no. >> president obama is asking us to be patient. he is telling us if it's someone else's fault. americans cannot afford to continue the status quo. more americans have lost their jobs under president obama than in any other president since the great depression. the job numbers just came out today for the month of august. another disappointing month with less than 100,000 new jobs. just this week, when the democrats were gathering at the convention, we saw the national debt go over 16 trillion dollars on monday of this week. thank you to president obama's fiscal responsible policy, we have seen our national debt to rise more than $5 trillion as he took office. we suffered through four straight years of trillion dollar plus deficits and an unprecedented downgrade of our nation's credit rating. 40 cents of every dollar the federal government is spending is borrowed money. we cannot continue to do that. you cannot do that. the state cannot do that. the nation cannot afford to do that. i know this is conservative that country. death is not the way we need to go for this feature. -- that is not the way we need to go for this future. when president obama was a candidate, they -- he said it was unpatriotic to at trillions to the national debt. just look at the fiscal mismanagement that you have in the neighboring state of illinois, which is obama's home state. in illinois and now has the most public debt per capita of any state in the nation.
1:18am
they have the most unfunded liability for the republican employee pension system. they are raising corporate and individual income tax and they are $4 billion in behind on paying their bills on time. with a republican governor in control of the house, we took a fiscal mess and that is straightened out. we have restored the money that was taken from the cash reserve. reproductive five years in advance. we have a sustainable budget. we will grow jobs in the iowa economy. barron's magazine came out with a rating of all 50 states in terms of their fiscal management or mismanagement. i am pratt to say that i know of ranked second to south dakota. -- i am practice say that iowa was ranked second to south dakota. i was -- illinois was second last to connecticut. we can do better. mitt romney will do better for america.
1:19am
he will do to america what republican governors have done to their state. look at indiana and michigan and wisconsin, all elected republican and governors in the last election. they have been reducing spending in taxes and regulation and growing our economy, a contrast to what obama is doing at the national level and his friends are doing in illinois. mitt romney understands that massive debt is a huge drag on the american economy and our ability to create jobs and burdening our children and grandchildren. he believes in a path to america that result in less spending, less government, lower taxes, and more economic growth. on day one, mitt romney will
1:20am
implement deficit-reduction measures to in this era of current spending and debt. president mitt romney will go to the budget line item by line item with two questions -- can we afford it? we borrow money to pay for it? getting our fiscal house in order is not a moral imperative. we have a choice between two visions of the future in this election. we can repeat the debt and spend policy of the past four years. we can repeat the unemployment levels of the past four years. we can turn this country around and rhetorically to restore the american dream for future generations. -- and restore the american dream for future generations.
1:21am
mitt romney will under -- rescue america like he did the olympics in salt lake city. he will cut spending, make government smaller and give us on a path to a balanced budget. he will create 12 million new jobs and reduce spending to less than 20% of the gdp and get america back on track. it is a great honor to welcome the next president of the united states, mitt romney. ♪
1:22am
thank you. what a welcome.
1:23am
i will tell you that. thank you, orange city. mr. mayer. thank you, northwestern college. mr. president, thank you for students today. [cheers] branstad. is it to record, a guy who was governor before, moved to the private sector, enjoying his for governor. created. thank you, governor terry branstad. conservative principles, who fight for the principles america was founded on. thank you.
1:24am
there, but i'm looking over the down the road a bit. the history of the earth. america. if we restore those principles, roaring back. in the world. america. america must lead."
1:25am
>> he began to speak. and there is no question of the principles of freedom and personal responsibility and the basis of america. and i will do it again.
1:26am
if you wanted to, to watch the his acceptance speech. i read that this morning. that. disappointing, surprisingly disappointed. series of lofty goals. kept. for people. per family. business, people who wanted to business start-ups. remember his stimulus plan? unemployment below 8%. above 8%. and after he double that. one promise he kept. put it -- his energy plan was happened.
1:27am
they are underemployed. it is a national tragedy. he said he would cut the deficit in half. this is time for a new president with a different vision for america. i was surprised by his address because i expected him to confront the major challenge of the last four years, which is the economy that has not produced the jobs the american people need. i expected him to talk about the
1:28am
unemployed of america. i expected him to talk about the number of families having a hard time making ands meet. -- ends meet. the cost of food, insurance, and gasoline has gone up as income has gone down. he did not talk about those things. it was a series of new promises, which he will not be able to keep because the policies he believes in and the direction he is pulling why not make america strong a. if he were reelected, we but have four more years of the last four years. the american people will say no to that. there is something else that you have watched in the present's
1:29am
campaign, and that is an increasingly divisive and dismissive approach to the american people. it has been a campaign of pitting one american against the other it is contrary to our national history and spirit. the story of america has been one of the many becoming one. the story of america is a united people coming to build the strongest economy in the history of the world. it has confronted doctors and stopped it from spreading across europe and the second world war. finding it one era -- evil wears its head around the world. america opposing the issue is needed today. that has been the story of america. if i am president of the united states, i will stop this divisiveness and do everything
1:30am
in my power to unite the american people. you might have expected the president to lay out a plan for what he would do to get the economy going again and get people working again. he did not do that less mind. the was surprising. i laid out the things i will do to get the economy going. four -- five things. i want you to know i am not just talking about 12 million new jobs. i know how soon get the private sector to create 12 million new jobs. i know what it will take to do that. number one -- i will take a vintage of war -- of our energy resources.
1:31am
our coal, gas, nuclear, renewable. by doing that, we've become energy independent. north america does by 2020. how do you get there? you take full of vintage of what is known as tight oil. they pump in quote to get more thought. taking advantage of that pipeline from canada. turning the gulf of mexico back on. over the last four years, the president has cut the number of permits and licenses on federal land and on federal waters in half. i will double that number so we get more oil and energy. natural gases are a big ace in the hole. we have a lot of natural gas.
1:32am
that is being brought to our transportation hubs in places where they do not have it, and the manufacturing sector. it will bring jobs back to america. taking advantage of our energy resources will put millions of americans back to work. number two -- i am looking at steve cain. this man needs to be your congressman again. -- i am looking at steve king. as many to be my partner in washington, d.c.. i want to make sure our workers have the skills for the jobs of today in the young people have the skills you need for the jobs of tomorrow. that latter request in demand suggest we have to make sure our schools are run for the benefit of the students and we put the
1:33am
students and their parents and teachers first. the teachers union will have to go behind. we have hat -- we have got to have our schools one for our kids. a third is trade. i will take it vantage of trade opportunities. america is the most productive nation on the planet with a major economic power. we make was the person than any other nation. because we make more stuff person, we are the most productive. it is good for us to trade with other nations. we will create more jobs as we do. you ship products in iowa. around the world. it creates jobs around the world. this president is the first since fdr not to seek and receive trade promotion authority to work out a trade deals with other nations. i will fight for the capacity to
1:34am
create new trade opportunities. because i spent my life in the private sector, i understand what kind of deals are good for america. i will make trade work for america. if nations with trade with take a band of unfairly and cheat, there will be consequences. i will do what needs to be done to make sure china does not cheat and take our jobs. number 4 -- this is one that is not just economic. it is also a moral, as the governor said. it is wrong for us -- morally wrong for us -- to continue to spend massively more than we take in year end and year out knowing that my generation will never pay that back. it will be passed on to your generation. we are killing the american dream for our children. it is wrong.
1:35am
it will stop if i am president of the united states. i have one more. i have one more. that is this -- i will champion small business. i happen to understand how it is that small businesses get going. and how it is they grow. as i was driving into orange city, i saw a staples distribution facility. a big sign such staples. i was one of those that help finance the very first staple store. i remember going to the store the night before it opened in talking to the various folks that were putting parts on the
1:36am
shelf. we wondered what would happen. i talked to one of the founders and asked, but we do if no one comes? he said lower prices and advertise more. that little one store in a place called brighton, massachusetts has grown to be thousands of stores worldwide with distribution centers here and across the country. to see a remarkable story. it is the story of america, how individuals pursuing their dreams, build it themselves, and by virtue of their dreams in a great nation, that welcome streamers and the support of all the people who work in an enterprise like staples, they were able to employ 90,000
1:37am
americans a day. to get americans back to work and to greet -- create the 12 million jobs i am dedicated to created -- creating, i have to create an environment that creates -- inspires small businesses to start businesses and grow them. i want them to now that if they are successful, one of the few of the startups that makes it, there will be able to keep a good deal of their own profits and be able to plow it into the business to grow. if you raise taxes on small business, a lot of them will not start. though said to will not be able to grow. holdi down taxes on small businesses is essential. i want regulators to know their job is to test the bad guys. there will always be bad guys out there. you have to encourage the good guys. regulators and regulations have
1:38am
to encourage small business, make it easier to grow, get behind our enterprises. if you want to help small business, if you want to help them, take that cloud off of them that is keeping some many small businesses from adding employment. the chamber of commerce carried out a survey asking businesses across america, what is the impact of a piece of legislation? 75% said that piece of legislation keeps us from hiring people. that legislation we have to get rid of is known as obamacare. i will get rid of it. now, that does not mean that we
1:39am
are not going to make improvements to our health care system. we know that health care is too expensive. obamacare does not make it less expensive. he said he would cut premiums. obamacare passes. they are up. that is a $5,000 difference for a medium family -- median family income. that is a huge impact. -- it has a huge impact. i will go after getting the cost of health care get reined in. i will take on malpractice. i'll let individuals by their own insurance. without just getting it from their company. we have to make sure the people who have pre-existing conditions will be insured and that folks that get sick will not get trapped by their insurance company. there are a lot of things we can
1:40am
do to improve. we do not have to have obamacare that raises taxes, cuts medicare. we would get rid of obamacare, restore funding to medicare, and keep the promises we have made to our seniors. i am excited about what i see ahead. i am convince the american people will take a careful look at both people running for president and they will ask themselves, what do i want going forward? do i want a president that will continue the policies he put in place of a last four years? 43 months above -- of unemployment. 95,000 net new jobs created an almost 400,000 people dropped out of the work force.
1:41am
it is unimaginable. the president said by this time we would be at 5.4% unemployment. you're at about 8%. 9 million people would be working in america had he kept his problems, had his policies worked as he thought he would -- they would. there would be 9 million americans working. -- 9 million more americans working. you would have a lot better family life. we would not have many kids wondering whether if they get home at night mom and dad will be there because they are trying to make ends meet. if seniors will put food on the table at the end of the week. not as many young people whether it if they can afford college next semester. not as many college graduates asking if they can find a job when half of them cannot find
1:42am
work or were consistent with a college degree. this president tried, but he did not understand what it takes to make the concord. i do. i will use that experience -- i'll use that experience to make americans get back to work again. at the democratic commission, they had better video that said we all belong to the government. they sure got that one wrong. the government belongs to us. we value the government we have. we pay for it, too. it is not free. we want that government to encourage and protect our freedoms, to honor its promises, to create the conditions that make it easier for small businesses and students to begin their life. that is what i am dedicated to
1:43am
doing. i love this country. i love the principles upon which it was founded. i do not want to transform america into europe. i do not want a government telling us how to live our lives. i want a government that encourages individual initiative and freedom. i will never say to you you did not build it. if you get the honor roll, i will congratulate you, not the bus driver that jody to school. i believe in individual achievement. to you that are going to college -- you have friends that are going to college here and around iowa and the country. you have a big save. you may have the deciding say as to who the next president is. the president and his party will do everything in their power to convince you to vote for them.
1:44am
who is dedicated to making sure we do not pass on trillion dollars of debt to you. i am. my party is. we are committed to make sure you live the american dream. the other party will promise to free stuff. how are they paying for it? we are borrowing money from china. guess who will pay the interest on that. guess who will pay it back all of your allies. you are. 16 trillion in debt. i see that sign. thank you for making that. governor branson and i've won not pay that back. we will become one that is paid back. you guys will pay for that. you'll pay the interest on it. it will get a larger and larger until that interest swamps more than our total defense budget. that is what will happen unless we get serious about reining in the excesses of government. we do not want the government to
1:45am
get so big that a crash is the chance of the american people. i will fight for the young people of america by getting us on track to a balanced budget. you guys, we are going to win this thing. we are taking back america. we will make sure america remains the hope of the earth. we will keep america of the shining city of the hill. i love the people of america. we are going to take back america and keep it strong. thank you so very much. thank you. ♪
1:46am
1:47am
1:48am
>> in -- i will have to vote for the democrats because they support labor. to see what makes our country strong. >> it bothers me when the presidents said that you do not create this business. i have been a small businessman for a long time. you sweat. many weeks to do not have anything. small businesses pay taxes. that is how you build roads. >> i voted for obama the last time around. i am disabled. i am not sure who i will vote for. i will not make that decision until i get to the polls.
1:49am
>> obama represented the good ship -- leadership. mitt romney represents indecisiveness. >> i cannot vote sir richard vote for someone who decides to spend his first two years with the house and the senate and the congress in his back pocket and he could only has two pieces of legislation. >> i do not like any of these tenants -- canada's. they have not served in the military. >> general motors may be alive. our economy is in a coma. millions of americans are hosting. rehearsing. there were no real solutions in the speech. >> you are what you do. both of these candidates are owned by the -- there is a difference between democrats and
1:50am
republicans. it is not. >> mitt romney does not represent me as a single mother. he does not represent my daughters. he does not have our best interest at heart. but in four weeks, the first of the presidential debates and live on c-span, c-span radio, and c-span.org. president obama and vice president by then will be at a campaign event after that. a discussion about the august jobs numbers. this is about 14 minutes. -- about 40 minutes. >> we are joined by the senior business editor with npr. she is here to talk mainly about
1:51am
the economy and in part to a caller about the jobs number some august. it has dropped to eighth when 1%. what more details can you tell us? >> this will be seen as a disappointing report because most economists expected in august the economy would create about 125,000 jobs. there has been a rising optimism. people started maybe is about 160,000 jobs. the number came out tonight -- today. it was 96,000. it is within the range of estimates. it is not far from where people thought it was. it is disappointing because it is down. >> what is traditionally these previews of coming out? one was? adp 150,000 jobs. how do they track with the labor
1:52am
department numbers? >> adp is measuring only private-sector employment. adp processes payroll. they keep a watch on what are people paying. we saw losses of government jobs last month. estimates can be wrong. it is a big economy. we have more than 300 million people, scores of millions of whom go to work every day. it is hard to get exact measurements. even the bsl number is kind of distant -- just an estimate there are revised later. we know enough to know that with more than 12 million people unemployed, this is a slow number of jobs growth. what we are averaging this year -- it is amazing how trapped in this small range we are. since january, the unemployment rate has gone from 8.1, 8.2, a
1:53am
0.3, a 0.1. they are rounding errors. the job market has stayed at a steady level. for that to persist for a whole year is disappointed for workers. >> just bumping along, cnn money had a report on where the jobs track has gone over the course of the president's term. 7.18 in january 2009, rising up to 10%, and now bumping along at 8.3% in august. to this 96,000 number -- where are they coming from? >> earlier in the year, americans were happy to see that manufacturing was looking stronger. this time around, manufacturing
1:54am
is falling back some. that is disappointing. you have this ongoing problem with governments and not having enough money. local and state governments have been restraining the hiring of teachers, police, fire. you are seeing a lot of people moving toward retirement in the postal service. the post office is a big employer. you have been having cutbacks in that as well. we are seeing people move out of the labor force. that is reflected in this report. if we did not have all that job growth in august, how is it that the unemployment rate came down? the current limit rate measures how many people are seeking work. if you are retired, you are no longer in the labour force. you are not looking for a job. that allows the unemployment rate to drift down. we are in this narrow range.
1:55am
everyone keeps waiting for when the month we will add jobs. it keeps chugging along, that horrible but bad when you have more than 12 million people unemployed. our phone lines are open. >> we have a democrats' line and a republicans line. there were 96 jobs added. they mentioned people ending job searches. is that typical for late summer? things grind to a halt. >> this is a strange thing happening where you have this overlay of demographics. a lot of baby boomers are a big part of the population.
1:56am
they are getting older. they are declaring themselves unemployed. if you lost your job as an auto worker in 2008 common and to have been looking for a job for five years, maybe you were 58 when you got laid off. now you are 63. you have not found real employment. people are starting to collect social security. we have seen a big surge in the people who are collecting disability payments, social security, you are seeing more people moved out of the labour force and said i am out. i am done. other people may decide to stay home with the kids. it is not worth looking for a job right now. there are a number of baby boomers who are not trying not hard to get into the full-time labor force because they have other care issues. we have people looking after
1:57am
multi generational families where you may watch the kids and your parents so you withdraw from the work force. cracks as baby boomers age out, would that create more of an opportunity for the workforce? >> that is why we see the unemployment rate down to 8.1%. if you are an employer in you think your business looks good, you do not want to see talent leaving the labor force. you would rather see people say, i want to work until i am 70. it is better for the economy to have an enthusiastic, in case work force that wants to work. if people pose economic reality that they have not found anything that is worth doing, then you have a lot of people dropping out of the labor force. >> what do you hear from businesses in this pre-election
1:58am
time? are they holding their cards and after the election to hire? >> corporations are sitting on a lot of cash. companies say until we resolve this issue of the fiscal cliff, the cluster of tax and spending issues on the stage to address at the end of the year. economists say that if we do not do something to fix that fiscal cliff we could drop off and have a recession a share. if congress does not do something to fix this idea that a bunch of tax and spending changes will happen on what once into the next to it and business environment, many people think we are sliding toward recession. they are holding back, waiting to see what happens in europe, what happens with congress, the election. there is a sense of treading water, holding back. that is why this unemployment rate is pouncing between 8.1%
1:59am
and 8.3 per cent. >> we have a caller waiting from citrus springs, florida on our democrats mine. caller: good morning. i was watching that may be a little bit ago. did she brought up a valid point about people jumping ship in to win over to the republican two- party at the second year of obama's administration. she says obama has not accomplished a thing since then. very true. the tea party jumped in there, grit what our government. -- gridlock our government. they said they would not work with this president or do anything to help him where the country. they wanted to get him out. priorityrepublican's
2:00am
is to do away with one man, why do they expect a vote from anybody? their job is to work in a bipartisan manner and accomplished things that help this country. not gridlock our government. host: thank you for the call. guest: this is back to the idea that there is such gridlock in congress that many businesses h.
2:01am
2:02am
2:03am
2:04am
2:05am
2:06am
2:07am
2:08am
2:09am
2:10am
2:11am
2:12am
2:13am
2:14am
2:15am
>> probably a lot of general-x people who wish the 60-year-olds would retire but a lot of 60-year-olds are locking at savings, saying, i need to work until 70, i can't clear this spot out for you. there are some generational things there. a lot of baby boomers who have lost a job are trying to get back in. if you're 50-plus it can be tough to get the next job. people hang on to their old one
2:16am
as long as they can buzz because there are, as he has said, there are some employers who are reluctant to spend a lot of money on retraining a person that they think may only be in the work force five or 10 more years. they'd rather get more work out of a younger person they feel they can train and hang on to for a longer time. there are a lot of problems around aging issues, shall we say, there are younger people who feel, i can't get a break because the boomers won't go away. host: to sarasota, florida. caller: thanks for c-span. i live in sarasota, i'm a veteran, i went through a training program at the community college to learn to run a router and work for a boat manufacturer. the boat manufacturer that i work for, we can't -- i mean,
2:17am
they are hiring like crazy, i mean, last year, they said, we would have -- florida had record tourism from people from canada that come down here. construction is the only thing that's still down in florida. that's all -- i thought it was odd that rick scot was not invited to the republican convention but governor charlie crist was at the democrat convention. i thought that was odd. there's work in florida, it's just people got to get trained to do the jobs that are available in the manufacturing, because the manufacturing, they've got to have people who know how to run the machine. >> thank you very much for that comment. that really is a very important point the issue of the skills mismatch. he notes that someone who can use computer controlled
2:18am
equipment, the c.n.c. machine he's referring to, those are skilled jobs that need valuable workers and we don't have enough skilled workers. there was a recent report by the federal reserve bank of new york that said up to 1/3 of the unemployment in this country can be explained by this mismatch between the jobs that are there an the workers available. the unemployment rate would drop by a third if we could get people into the job that already exist. there's just not enough trained workers to fill them. so this is really, i think, a big issue, job training. how do we get the workers we need out of the work force that we have. and matching up workers and skills and openings is really one of the big challenges for the economy. >> it's reflected, a report came out yesterday in the world economic florida, global competitiveness in the united states dropped from sixth to seventh. they listed a numb of factors
2:19am
that caused that drop or hinder economic competitiveness for the united states. one of those, in the middle of there are a number of different factors is an inadequately educated work force. the number one factor, the top two are the tax rates and inefficient government bureaucracy and deeper in that report they talk about the gridlock in washington. between congress and the white house. which you were talking about when we first started our conversation. >> there are lots of government-related problems with this jobs mismatch too. there's so many government programs about job training that many critics would say that all of this needs to be dreamline -- streamlined and focused so we can match up who is available to work with the skills we needed. for example, in the energy sector, there are a lot of jobs involving the -- involving coal and fracking. you have jobs that are booming
2:20am
and opening up, places like north dakota where they can't get enough workers and other parts of the country where you don't have, you know, you have far more workers available than jobs open. so trying to solve these mismatches in some efficient way, if government were working a little better, let's say, you might be able to cut through some of this bureaucracy and the inefficiency there and come up with programs that work better but it's very tough for congress to get anything done these days and probably until the election cycle is over we won't see much progress in that area but job training and worker mismatches.
2:21am
caller: a component i'd like to component out is the idea that government regulations, precisely, environmental regulations is hindering job growth. i don't think we're seeing that. i think republicans published an article about job growth being hindered by government regulations. you know you hear recently from mitt romney you can talking about government regulations stifling job growth, i don't think that's necessarily true. you have recently a large force of -- a businessman that wrote an article about government intrusion and regulation ruining his business and testifying in a hearing the same exact thing. but then he filed paperwork with the regulatory, he listed regulation as not a concern for
2:22am
his business. i'd like to get your thoughts on regulatory policy and how you think that impacts job growth. >> well, i think that all the surveys that i've seen of businesses, when they list what are the issues that are really holding back your business, the thing that comes up that's really clear is lack of demand. i mean they don't really talk about, i'm sure, obviously, businesses would have any number of thins they would like to have better, but if they just had customers, they would be pretty happy. surveys don't show that taxes rr regulations apply all that -- rise all that much to the top of the list. when you say to small businesses, what's holding you back? what's the problem,? they say there's not enough people coming thut door. we need more customer, more demand. so the question really is how do you get that demand back? this goes back to this european thing i was referring to. if you have customers in europe that buy your products, if
2:23am
you're a general electric and -- or an auto company, whatever, and you want customers in europe buying your parts, your equipment -- your equipment, to have europe in depression, that's going too far a significant recession, is a problem for your business. another thing we're seing is china has been slowing down a great deal. although, yes, we import a great deal from china, we sell them thins. if china's economy is slowing down, that's another problem for u.s. businesses. it depresses that demand. so this is really, again, very much a demand-driven recession. there's just not enough customers coming in the doors, ringing the bells, they need more demand. >> a couple more minutes with marilyn geewax. the unemployment figures for the month of august, falling to 8.1% with 96,000 jobs added for the month of august. a tweet from ron who sends us a
2:24am
tweet and says that a caller summarized the older worker problem very well. in time, he says, most of us will be forced to adjust our standard of living down. talking ab-- talking -- we'll be talking about the middle class in a moment with our next guest. but let's get to a couple of more calls here. cliff in pikesville, maryland. republican line. caller: i'm glad to see that things for the last 29 months have been going in a positive direction even though it's not what we want as a country. but it is going in a positive direction as opposed to what we had before. it amazes me to hear people talk and support various candidates. i think that obama, and i'm a republican, i think obama has done the best that he could. i think that people really need to look at mitt romney's record. ok. i would think that mitt romney
2:25am
has put more people in poverty from his business activity than obama will ever have. that's all i have to say. >> ok. cliff. let's see if we can get a couple of calls. fairy on our democrats line from mississippi. caller: i'm jerry. host: go ahead. caller: i have a question. do you believe that the gridlock in congress has prohibited president obama from doing a much better job than he has done at the present time? >> well, again, i don't want to get into politics, that's not my area, but in ters of the business perception, there are a lot of unsolved issues out there that if they were resolved would provide a little more certainty for businesses so they could go forward. it's pretty clear that somewhere along the line here, something is going to change,
2:26am
as far as tax returns, what will corporate taxes be two years from now? it's hard to say. what's going to happen with, you know, all sorts of issues. everything from unemployment benefits extensions, those are starting to run out. we had 99 weeks of unemployment benefits for people and those are expiring now. they weren't renewed to that full limit and some of that may start to affect the economy. people who have been able to go to the grocery store, if they're no longer getting their unemployment checks, will they still be able to buy gasoline, fwroseries, those kind of things may start to impact retailers. so if congress doesn't re-up them, if congress doesn't address the issue of the fiscal cliff for the government contractors, there are a lot of reasons why businesses are looking for clarity from congress but i think until the election, everything is pretty
2:27am
much on hold. i don't expect anybody to take on reforming the tax structure between now and election day. host: i think we can get one more quick call from south carolina. tony. caller: good morning. the problem we have here in this part of the south and in vacation areas is the people who want the jobs here and need the jobs -- jobs condition get the jobs. we have to compete with these foreign labor pools. i don't know if this is some kind of grand experiment we're doing here but i can't go out and get a job and from the lowest grass mowing job up to light manufacturing. they bring in the brazilians, the russians, the israelis an i'm not prejudiced here, -- host: let's see if we can get a response. what do you know about the foreign labor pools? guest: it's true.
2:28am
there are are lots, particularly in the summer if you go to places, at cedar point in ohio, one of the amusement parks and the workers that summer were all, it seemed virtually everyone i spoke to had an accent. that's very true at many summer amusement parks where companies are bringing in students from other countries. host: because they couldn't find a labor pool here? guest: for a lot of places. they argue it's nicer for guests, it pr vie diversity. but for americans who want a job, it's hard. there are a lot of country -- panes that bring in labor from outside the country to do some of this work. you know, it's a question of whether or not those who come here are enhancing our economy or preventing people in america from getting jobs.
2:29am
there's a -- those are debatable issues. host: marilyn geewax, senior business editor for np rmbs. you can follow her work on npr. >> tomorrow on "washington journal" "reuters" economics correspondent discusses the jobs report. we examine the 2012 campaign and energy issues. "washington journal" live at 7:00 a.m. eastern on c-span. in august, the unemployment rate was down and more than 95,000 jobs were added. laurence katz a former chief economist at labor department during the clinton administration says the labor market remains weak with lingering effects of the financial crisis and recession. he was one of the economists
2:30am
who participated in an american enterprise conference focusing on federal job training programs. this is about an hour and 20 minutes. >> good morning, everyone. i'd like to welcome you here. i'm at the university of chicago. it might seem obvious that now is a good time to consider the effectiveness of government job training programs. the housing bust and financial crisis hit american workers hard. it's obvious to everybody that the economy and labor market
2:31am
have yet to fully recover. but there are other reasons for concern about the american worker, reasons that predate the financial crisis. let me just mention two. the share of working age americans with a job has been on a downward slide since 2000. in fact, the rate of employment today is at about the same level it was in the late 1970's and early 1980's. that despite an enormous influx of women into the work force in the intervening time period. the declines in the employment rate are concentrated among less educated workers. second, real wage growth has been disappointingly slow among american workers since at least the past 12 years. these facts i've briefly sketched add up to a -- do not add up to a picture of strength. it suggests millions of workers lack jobs and the kinds of skills that lead to good jobs.
2:32am
the shortage of jobs and skills is a source of considerable hardship for many individuals and their families. the shortage of qualified workers presents a challenge to many businesses. indeed, enge the shortage of jobs and skills hers us all because it seems that many of our fellow citizens contribute less to the economic vitality of our nation than they could. so given these observations, government job training programs seem like a natural policy response. in fact, the federal government currently supports more than 40 job training and employment assistance programs. there was a handout there, i hope you had a chance to pick it up on the way in, it has some basic information about these programs. unfortunately, it appears that many government job training programs have limited value. in addition, few programs undergo the type of systematic evaluation required to assess the performance and to judge what works and what doesn't.
2:33am
perhaps most troubling, it seems that the current system has no effective means of shifting resources from less successful programs and practices to more successful ones. in short, the system is ripe for reforms designed to improve the eventiveness of government-supported job training programs. that brengs me to today ease program. we have assembled a truly stellar lineup of speakers. they bring a tremendous wealth of experience and expertise related to job training, public policy and labor economics. i am very eager to hear their perspectives and insights. without further ado and let me turn the microphone over to kevin, the director of economic policy studies at the american enterprise institute, our moderator for the first session. >> thanks, steve. welcome, everybody. i think that today's jobs report which showed 96,000 jobs were added in august, and more
2:34am
or less reveals that the labor market is about as we thought it was yesterday, that it's very weak, there are -- there's an increasing number of discouraged worker -- increasing number of discouraged workers in the labor force and the unemployment rate was down a little bit but it was because the labor force declined. that is a policy challenge that's of the highest order. because of the deep recession we had, we've fwt long-term unemployment, people that separated from the work force that are hard to reconnect. and i think that it's also an area of public policy that is ripe for bipartisanship, i think we saw that in the work sharing legislation that happened recently and i think that good thinking on reform has a chance to become law as soon as the good thinking is crystalized enough to become
2:35am
law. i think today's conference will help people think about what we can do and what the challenges are going forward. i'm thrilled to have a chance to moderate this first panel. the first panel has two speakers. basically the first is larry katz, larry is the professor of economics at harvard university and research associate at the national bureau of economic research. his research focuses on issues in labor economics and he's very well known to people here in washington because he served as chief economist of the labor department in 1993 and 1994. larry is going to talk about best practices in job training programs. and give it a perspective -- give us a perspective on what we know can work. the discussion for larry is harry holser, who joins the public poll -- the georgetown public policy institute in fall of 2000. he served as associate dean from 2004 to 2006 and was
2:36am
acting dean in the fall of 2006. he's currently a senior research fellow at the mesh institutes for research, senior affiliate of the urban institute, senior affiliate of the poverty center at the university of michigan, national fellow on the program of inequality at harvard, the list is long. nonresident senior fellow at brookings institution and a research affiliate for the institute of research on poverty at the university of wisconsin-madison. the fact that he's got so many associations reveals really that he's a trusted source for information on this important topic and many people turn to him when they're thinking about the hard problems in labor commecks. with that, i hand it off to larry, who will begin with about a 5-minute presentation about the best practices and then we'll discuss it for about 10 minutes and that lees 20 minutes for general conversation before we take our first break.
2:37am
larry? >> thank you. delighted to be here. and we have a wonderful group of true experts on job training programs who will be following me and speaking today. so i will try to give a bit of a broader overview of the challenges job training programs face and then some quick lessons, i think, of best practices and lessons from experience with evaluating programs and with knowledge of individual behaviors that may differ somewhat from standard economic models and the psychology of individuals who end up in training programs to try to think about our current system and how it might be redesigned. and why the broad knowledge of labor economics and worked very hev-ly in job training programs two decades ago in the clinton administration, in some sense, i'll try to give this bigger
2:38am
picture because, you know, i'm not a true expert on the details of all the programs today. i just play one on tv. so, the way i would like to think about it is, in order to think about the issues concerning training employment programs, try to improve the skills and labor force prospects and job prospects of people who have lost job, people who are just entering the labor market, people who are struggling to make a middle class income, there are really what i would say four major u.s. job challenges that affect the context in which training and employment programs operate as well as the education system and that will affect how one should think about designing them. the first is that as kevin just said, we continue to be in a very weak labor market. the overhang of the financial crisis and the great recession
2:39am
is still with us. that was a major negative shock to the economy. we still have an above 8% unemployment rate. we still have a huge macroeconomic cyclical problem of weak hiring anding a combat demand and -- and aggregate demand and we need more job creation and that's important to keep in mind when thinking about what job training, education and employment programs can do. they are not by themselves going to solve the problem for the financial system, the problems of debt overhang, the problems of cutbacks at state and local governments. the macroeconomy will matter an it's going to matter in how effective programs are going to be. second, even if we could magically make the macroeconomy -- macroeconomic problems go away today, instantly, we can create 11 million jobs for
2:40am
example, the most extreme case, we would still have the overhang of what happened the last five years in the great recession. that is, we currently have a tremendous overhang of people who even if the labor market was strong today have lost jobs they held for a long period of time. do not necessarily have the information or skills to get connected to increase employer demand. not only is unemployment high, many people have dropped out of the work force, the duration of unemployment is at record high levels since we've been keeping consistent data. we know from work that people like steve davis and others, that even when the economy recovers, without help, it's very difficult to make up if you have a long-term job -- long-term job, used to be an auto worker, construction worker what comes back is not going to be exactly like that. they'd need help. that's pan important place where job training and ploifment programs can play a role in helping to facile tit.
2:41am
second, imagine we hadn't had the great recession or a financial crisis. so we didn't have the overhang of the long-term unemployed. we didn't have a whole generation of young people who entered a very weak labor market and haven't gotten those initial experiences. we were sort of back to 2007. as steve davis said, the world didn't look so great in the labor market in 2007. the period of 2000 to 2007 was one, you know, a modest recession but very lit real covery, employment was falling, wages were not doing very well. and even if you go back before 2000, there was a brief period in the late 1990's of widely shared prosperity and strong and tight labor market, we have actually decades of rising inequality, shifts in labor demand away from jobs, in places like manufacturing, away from what were traditional middle skill jobs, middle manager, clerical workers, and
2:42am
so there were large structural labor market problems that existed before the great recession in which education and training are very important part with rising demand for certain skills and a supply of skills not keeping pace. imagine that the last 30 years had gone very differently and we'd actually expanded access to education, we had revitalized american businesses and theft lings in many different ways an had not had the rise in inequality, in structural changes. we would still be left even in the world that exists with very strong labor markets, without persist ebt changes and inequality, there's still an important role. there are structural -- there is structural change going on all the time. certain industries are rising, other ones are falling. people losing jobs, difficulties connecting to new places, need new skills, even in a well-functioning, tight
2:43am
labor market operating at full employment, young workers from disadvantaged families need help getting a first job. so job training programs will be important even in a world with very strong labor markets. so to reiterate, the first challenge we face is that we aren't in this world of full employment and no structural change and no overhang or long-term unemployment. we have a very large macroeconomic problem that remains and that's important for thinking about job training programs in several senses. first, you know if there aren't any jobs out there, the best job training program by itself, you know, might have a little bit back to deciding to here people because the skills they were looking for even in a weak economy but the first order, one needs demand. second, people who have just come through a training
2:44am
program, have been unemployed are risky hires to most people. they are at the end of the queue when employers have a large number of people applying for jobs, they are able to choose much more experienced workers. every job training program faces difficulty. you can vouch all you want for the skills and character of the prack but it's difficult to get in the front door in that situation. the third reason why training programs, the macroenvironment really matters and we need to work there to make these more effective, is what is known in the training program evaluation literature as displacement effects or spillover effects. this is if you have a really good program that hooks up people with employers but the number of jobs is quite limited, all you might be doing is playing a game of musical chairs.
2:45am
the person who get you know, this training slot or this job search assistant program, help filling out their resume may get a job at a -- and displace someone just like them. we are starting to know something about this process. in a remarkable recent study, not done in the united states but in france which is a modern labor market where i think there are some lessons, by bro bruno crepon and several co-authors, they convinced the french government to do something i hope we convince our government to do, to actually experiment with the effectiveness of widespread employment services programs and to try to look at what the overall effects on the labor market are by not just randomizing whether an individual got access to the program but breaking up france into 200 sort of different geographic area labor markets and in some areas providing 100% of the people to people, in some areas none, in some
2:46am
areas 50%, some areas 75%, some areas 5%. and if you did that randomly on average you can then ask, if you're in an area where lots of're poem got this program, does that have a negative effect on you if you didn't? or is it less effective? what they found is in tight labor markets, when there's full employment out there, basically the programs really help people get into jobs more quickly and tend to expand total employment. when the labor market is weak as in many parts of the united states today, it is largely a fwrame of musical chairs. one person getting a job, just, you know, makes another person have a more difficult time. in thinking about the types of programs, things that help people move more quickly into a job is good when employment is expanding. one needs deeper solutions to
2:47am
change the game in a labor market like today. that ought to be an important issue in thinking about the problems. we have the overhang of the long-term unemployed, which is very important in thinking about what we need to do with job training programs and we have -- the second remnant of the great recession that we're currently feasing, we have an overhang of people who lost their jobs and then we have a remarkably weak labor market for young people so the nonemployment rate among individuals 16 to 24 is about as high as we have seen it and one of the very important things to note is that the first several years in the labor market are extremely important for people's careers. there's a lot of things that look like churning, people moving from job to job. but that is actually often a purposeful approach to finding a good match, finding a job that provides training and a career.
2:48am
most young people go through multiple jobs, about a third of all the earnings growth in one's lifetime happens in the first four years in the labor market. we've now had five really bad years in the u.s. labor market. we have a whole cohort of young people who have entered a job market not just with, you know, high unemployment but a job market that's become increasingly what you might call scle rotic. that is in a el well functioning, high pressure labor market, not only is there net, you know, hiring, but there's a lot of churning, one person gets good opportunities to find a better job, that opens up their job for someone else to try it out and find out who is a good match. the one thing we've seen in the great recession aftermath is workers are scared to quit their jobs because there aren't many opportunities so there's not a lot of this useful, productionive churn that gets people into the right jobs that are a huge part of productivity growth and life cycle wage growth. so in thinking abthe rem nans
2:49am
of the great recession, what i'd like to say is there are two very important factors to bring in in thinking about job training programs. there are tremendous human costs to losing a long-term job. so for experienced workers, this overhang of high unemployment is a very serious problem and even when the economy recovers, we know the rapid 198's recovery after a very deep recession in the early 1980's, we have three decades of data since the early 1980's in which we've seen that without a strong training and employment system which we didn't have in the 1980's u.s., one does not see people becoming whole who permanently lost high wage jobs even decades later, once these people have a lower trajectory, and one also sees large social consequences. health effects that seem to be correlated with these income losses and with the stress of losing a job, spillover effects onto their kids, there's a wide range of increasing research
2:50am
that persistent joblessness feeds back stress in the family, the family instability, to problems of kids in school that affect the next generation so there's a very important issue of trying to make whole and improve the opportunities even if we get a stronger macroeconomic go -- macroeconomy going to people who lost their jobs and second young people who started in a weak labor market have persistent effects on their labor market outcome. we need to take action to recreate the tuns to move from job to job, to improve education to give young people a chance to move in. the other thing that happens in deep recessions and weak labor markets is young people make decisions that often have permanent scarring effects in the labor market, particularly getting involved in crime. one interesting open research question is that that has not happened very much in this great recession period. we have been lucky in the sense that crime rates have continued
2:51am
falling and arrest rates for young people. so that's an open question. something has been going on good in the social fabric among all the negativity of the great recession an it's not showing up in some of the dysfunctional behaviors we have often seen in past downturns. that's one hopeful sign, if you have the sort of education and training programs an stronger recovery, we may have persistent negative refrequent -- effects from the scarring effects of a criminal record that we've seen in the past. so one other point before getting into detail of the job training program is how big is the macroeconomic problem of loverple unemployment we still face? if you wanted to get back to where we were before the great recession hit, which i think is probably unrealistic because we were already on a downward trend in labor force participation, we would actually need, we're about four million jobs, five million jobs
2:52am
below where we were at the end of 2007 but that's actually a great understatement because population does grow. we need about 11 million jobs. which at the 100,000, 150,000, 00,000 a month, it's going to take many, many years. we continue to have a large macroproblem even if you think the decline in labor force participation we've seen is a permanent effect on these people, picking up some longer run aging, changes and thing well, still need more than five million job. the context of today's labor market is one where we need a lot of macroexpansions in order to make job training programs and education programs more effective. and then, the final point to just give the context of the importance of this is not only do we have the problems of long-term unemployment and young people having difficulty in the labor market today but we have seen three decades ofalizing inequality, growing returns to education, a hollowing out of the middle,
2:53am
the college wage premium is twice as high today as it was in 1980. the traditional middle jobs for the lower part of college and for the higher part of the noncollege population have been disappearing for decades and so any training program is going to need to take in the reality that improving skills over the long-term, not just resuffle -- reshuffling, reemployment services by itself is going to be a very important factor. these are just some basic facts on the growing, what we sames -- sometimes call polarization of labor demands. these show you basically what happened to employment in the 1970's and 1980's. we had sort of monotonically rising inequality of labor demand, upgrading of skill demand throughout. that's what that blue line shows you. the red line shows the last couple of decades. it's the middle of the wage
2:54am
distribution where we've seen weak growth. the middle of the skill distribution. these are the lower half of jobs for people with some college and the upper half of jobs for noncollege workers, high paid manufacturing jobs, construction jobs, recently middle management jobs, and the jobs, that doesn't mean if you look at that middle following that there isn't going to be a new middle. it's recreating the jobs that in the 970's an 980's were middle class jobs is unlikely to be a good strategy. the training is going to need to go into the growing service sector the different health technicians, parts manufacturing that still have important jobs and almost all of these middle skill jobs require post-secondary training, serious vocational as well as serious general sets of skills and there is a vision of a new, broad, middle class but it's not going to look like 1970's and 1980's manufacturing jobs. there will be a strong
2:55am
manufacturing secor, we hope, but it's not going to have employment levels. it's going to look more like craft, artisanal, smaller businesses, working on teams, getting people a set of skills where employers are looking for things and where there's a potential if growing and moving across jobs can be very important. and this just shows you, highlights -- highlights that these trends, the middle part of occupations continue declining even in the great recession. so what can we do? what is the lessons? i leave it to our leading experts in the rest of the presentation to go into details but there are several lessons, you know, that we have learned from several tech kids of evaluating training programs seriously using rigorous -- rigorous random assignment experiments with possible and strong nonexperimental methods when possible. the first is that programs that
2:56am
integrate what employers are looking for and saying the -- seing the needs going forward to have serious training and that sort of -- and then sort of try to combine that seem to be more proming than programs that provide, are not driven by guidance from what employers are looking for. they have a very general set of skills without a lot of guidance in the labor market. and we're increasingly seeing this as we're evaluating different types of training programs that certain ones seem to be showing up with persistent large earnings games. -- gains. one in particular i've learned a fair amount about is the sec torl employment initiative, evaluated recently, these programs basically have employer-involve -- employer involvement. examples are working in information technology, things like becoming the help desk person for a lot of corporations. there's a wonderful
2:57am
organization in the bronx that does first rate training for people to get in i.t., whether it's become microsoft certified or apple certified. these programs combine finding what are shortages that employers are looking for that are reasonable, make -- maybe six months or a year of training could get you up to entry level jobs with some growth. they provide not only training but they work in placement and in following up with their workers and in developing jobs and finding out what is a curriculum that employers are finding as, for example, traditional desktops are declining, moving into apple and mobile things becomes important in giving their workers skills to continue -- combined with the life skillings training to go into an interview and other areas. integrated programs linking employers, community organizations, community colleges often. in the sec torl employment
2:58am
initiative, we're seeing 15, 0% earnings gains. other examples, the jewish vocational services in boston which has been working in health care jobs, project quest which has a number of different programs in a wide range working with groups in texas, austin, and san antonio, in milwaukee, in manufacturing training. that's one best practices model. mdrc, manpower nonstration, research corporation is doing a good job evaluating longer term looks at a number of sec torl employment issues. a mixture of programs with serious training and an intermediary seem to be a promising direction. the other places where we see long-term gains again have a mixture of contextule train wng a workplace even if it's not that you end up doing exactly that job. the other remarkable one is the career academies evaluation starting in the 1990's and continuing over 15 years by
2:59am
mdrc which is a way of sort ofent grating serious high school academic work with part of the day, part of the week, being spent in contextule learning with an employer, whether working as health technician, in a lab, working in a manufacturing plant, getting a sense that whaur it's that what you're learning in school has sal in the workplace. it generates returns, not necessarily if you work in a health lab at a hospital lab becoming a technician but by potentially becoming a physician. integrating what you're seing in school within the workplace and also getting you a set of certified skills that help and again even eight or 10 years out, we're seeing 15% or 20% gains, particularly for young men from disadvantaged backgrounds who have been struggling with the most in the labor market. again it combines legal training with a link to employers and a sense of what are things that are growing? third, there's a long-term evidence of the job corps, at
3:00am
least over a several year horizon with serious train, removing people from very disadvantaged backgrounds into a strong, intensive program, residential environment can greatly affect things, reduces involvement in crime, at least for three years or so, substantial effects in labor market outcome. again, an intentionive program with a lot of integrated aspects. finally the other interesting set of evaluations i see that tell us there's an important role for training and education and not just other sets of social services is a contrast from one evaluation i've been involved in, which was known as moving the opportunity and another one done which is known as jobs plus done by mdrc. .
3:01am
3:02am
3:03am
3:04am
3:05am
3:06am
3:07am
3:08am
3:09am
3:10am
3:11am
3:12am
3:13am
3:14am
3:15am
3:16am
3:17am
3:18am
3:19am
3:20am
3:21am
3:22am
3:23am
3:24am
3:25am
3:26am
3:27am
3:28am
3:29am
3:30am
3:31am
3:32am
3:33am
3:34am
3:35am
3:36am
3:37am
3:38am
3:39am
3:40am
3:41am
3:42am
3:43am
3:44am
3:45am
3:46am
3:47am
3:48am
3:49am
3:50am
3:51am
3:52am
3:53am
3:54am
3:55am
3:56am
3:57am
3:58am
3:59am
4:00am
4:01am
4:02am
4:03am
4:04am
4:05am
4:06am
4:07am
4:08am
4:09am
4:10am
4:11am
4:12am
4:13am
4:14am
4:15am
4:16am
4:17am
4:18am
4:19am
4:20am
4:21am
4:22am
4:23am
4:24am
4:25am
4:26am
4:27am
4:28am
4:29am
4:30am
4:31am
4:32am
4:33am
4:34am
4:35am
4:36am
4:37am
4:38am
4:39am
4:40am
4:41am
4:42am
4:43am
4:44am
4:45am
4:46am
4:47am
4:48am
4:49am
4:50am
4:51am
4:52am
4:53am
4:54am
4:55am
4:56am
4:57am
4:58am
4:59am
5:00am
>> that wraps up the program. i would like to thank the speakers. thank you for coming. up also like to thank the staffers for making sure the and that went smoothly. -- the event went smoothly. >> boathouses of congress are back in session next -- both
5:01am
houses of congress are back in session next week. >> congressional reporter with market news international, john saw. when the house and senate come back next monday, what is on their agenda? >> it will be a brief return to washington. the one item everyone is focused on is keeping the government funded. the fiscal year begins october. one of the 12 bills that passed -- pass in the short-term spending bill. john boehner and harry reid reached an agreement to pass 6 months bill. at ten lawmakers and leaders want to get that issue taking care of -- i think lawmakers and leaders want to get that issue taking care of.
5:02am
the state of the economy and fiscal issues will shape how did the shape the debate. the implementation of across- the-board spending cuts, the need to increase the debt ceiling. issues are converging at the end of this year. you will see a lot of the party leader sticking out very familiar ground. there will not be much public movement. it will be interesting to see private associations -- negotiations to lay the foundation for the final negotiations which i think everyone believes will occur. >> on this six month measure, you said there is an agreement for a six month's spending bill. a short term stop-gap measure.
5:03am
is there an agreement on the dollar figure on that? >> that has been an issue throughout this year, what the level was. they agreed on $1.047 trillion. house republicans wanted it initially to be below that. once they reach agreement on that number, they were able to lock in this deal. i think everyone believes the short term will beam -- measurable they passed easily. >> in the past this sometimes have other items thrown into it. are there other issues that will be addressed in the cr? >> it is not clear until you have the final package. there has been a strong sense of a leadership they want to keep it as clean as possible. they do not want to bring up extraneous issues.
5:04am
this is the one thing they have to get done this fall. i think there will be a very strong distance to add other items on that bill perry >> are there any other issues they have to get done before they take the break next month to head back home ago -- a campaign. >> there is a relief -- drought relief bill that stalled in the summer. there is a cyber security bill pending. there are a lot of things on the table. it might be possible that some are completed in the next few weeks. >> john saw, congressional reporter with market news international, thank you for the preview of what is ahead in congress. [captioning performed by national captioning institute] [captions copyright national
5:05am
cable satellite corp. 2012] let's go to facebook.com/cspan to join the suggestion. here are a few suggestions so far. their ability to vote themselves a raise. sean says -- pulling troops out of afghanistan and fixing the fiscal cliff are also making it into the conversation. you can add your thoughts and read more at faceboo k.com/cspan. >> in four weeks, the first of the presidential debates. what ending gates. next, president obama -- watch and engaged. next, president obama and joe biden. then leavitt 7:00 a.m., your calls and comments on washington journal -- then live at 7:00
5:06am
a.m., your calls and, tom washington journal petr >> i watched c-span, c-span2. it is important to be knowledgeable about what is god in the world. c-span gives the most information about what is going on at that the specific subject. >> she watches c-span on comcast. greeted by america's cable companies in 1979. brought to you as a public service by your television provider. >> after the democratic national convention, president obama and vice president biden about with fate -- first lady michelle obama and jill biden, campaigned in new hampshire. other speakers include jeanne shaheen and governor john lynch. this is an hour and 15 minutes. ♪
5:07am
>> what a great crowd. you all are terrific. i am so glad you are here. though we are all here to welcome the president, barack obama, the first lady, michelle. [applause] the vice-president, joe biden. and jill biden. [applause] to the greatest state in the nation. [applause] we are so excited to have the fab four in new hampshire, and
5:08am
they have come here fresh off of their fantastic speeches in charlotte. [applause] this week in charlotte reminded us again how very proud we are to have barack obama as our president and michelle obama as our first lady. [applause] you know, president obama is fighting for what democrats have always fought for, an economist grounded in middle-class prosperity, an economy that is built to last. president obama knows that this is a make or break moment for the middle-class, and in order for the middle-class to thrive, we need to restore the basic values of fairness and balance that have made this country so
5:09am
great. [applause] values that say, if you work hard, if you play by the rules, you should be able to afford to buy a home, send your kids to college, have a secure retirement, to know that the next generation is going to be better off than this generation. [applause] president obama's that these are our values, and this president has had the courage to tackle some really tough issues. he ignored the critics and he stepped up and rescue the auto industry. [applause]
5:10am
saving over 1 million jobs, 26,000 jobs right here in new hampshire depended on the auto industry. [applause] and he repealed don't ask, don't tell. [applause] so that you never again have to lie in order to serve the country that you love. [applause] he tackled immigration reform and he made the tough decision to allow children who have grown up in the united states who have been educated in our schools, to give them the opportunity to stay here. you know, wouldn't we rather be known as a country of dreamers, than a country of illegal aliens?
5:11am
[applause] and as we saw last night, this is the commander in chief who finally brought osama bin laden to justice. [applause] now that is presidential leadership. but even before barack obama was elected president, we knew he was going to be a great leader. we knew it when he chose joe biden as his running mate. joe was the perfect choice, because like the president, he had lived the american dream, going from humble middle-class roots, to the united states senate, to the vice presidency of the united states. [applause]
5:12am
and we all know from his incredible speech last night that he has been side by side with the president's, fighting to make sure that we open the doors of opportunity for all americans, working to create good jobs and to invest in education, to make health care and retirement and schools affordable for everyone. it is what he has fought for his entire career. [applause] and we know joe biden is also a very smart guy. we know this because we have met the woman that he married. jill biden, isn't she great? [applause]
5:13am
when she and michelle got together to support military families, they made this country so proud, and they have made such a great difference for military families across this country. [applause] now, i do have to tell you that i do have one problem with barack obama's choosing joe biden as his vice president, and that was that i never got to serve with him in the united states senate. but i am very proud to be here, to introduce our vice president, a person that is one of new hampshire's greatest friends, who has been a great vice- president, joe biden. [applause] ♪
5:14am
>> hi, everybody! hello, new hampshire. >> joe, joe, joe! >> thank you. i just want to say one thing that you already know. this woman is everything anyone could hope for a senator to be. [applause] and besides, she is my friend. i love you. thank you. billy, where are you? there he is.
5:15am
if i got to be in a foxhole, i want him in there with me. it is good to be back. wasn't the president incredible last night? [applause] doesn't it make you proud to be an american? [applause] folks, the president and i have become friends. i know this guy. he has courage in his soul, compassion in his heart, and he has a spine of steel. [applause] and there is not a day that i can say this with all honesty -- not a day that has gone by in the last four years and i have not been grateful, not as a vice president, but as an american, that this man had been our president.
5:16am
[applause] and there is a simple reason why. i was asked after i spoke last night why? because guy has the courage to make the tough calls. almost all the calls today are tough. ladies and gentlemen, whether it is education, health care, medicare, ending the war in iraq, bringing an end to the war in afghanistan, we need a man with a steady hand in good judgment. folks, the president is going to level the playing field and get the middle class back in the game. [applause] it has already started. because he knows in his gut, and this is not hyperbole, the middle-class is what built this country and what made it great. he knows. and he knows something our opponents either have forgotten or never knew.
5:17am
america is not in decline. [applause] let me say again to our opponents. gentlemen, it is never ever been a good bet to bet against the american people. [applause] i have learned about this guy, which you already know, he only knows one speed, one direction, forward. ladies and gentlemen, speaking of moving forward,, to introduce a friend of mine. a guy for whom i have an enormous amount of respect for his integrity and ability. he also has had to make and has made the tough calls for new hampshire, and new hampshire is much better off because of him.
5:18am
folks, the guy i'm about to introduce has a lot in common with the man he will introduce. new hampshire is better off because of the governor, and america is better off because of the president. ladies and gentlemen, it is my pleasure to introduce you to john lynch and the first lady of new hampshire, dr. susan lynch. give it up for them. [applause] ♪
5:19am
>> good afternoon, everybody. what a great crowd. susan and i are delighted to be able to join you today. hi. [laughter] and we are very honored to have president obama and our terrific first lady michelle obama here with us as well. [applause] and you have heard from vice- president joe biden, and although his great white dr. jill biden is also with us today, here in portsmouth.
5:20am
now, i am sure they like north carolina, but we know they love new hampshire. [applause] new hampshire is a key to the reelection of the president and vice-president. and we will again show this nation that new hampshire knows how to pick presidents of the united states. [applause] this upcoming election is so important to our state and to our nation, but before i talk about the election, i just have to say it again. in new hampshire, we live in the greatest state in the greatest country in the world. [applause]
5:21am
we are the safest state in the nation, one of the most livable states, and the best state in the country in which to raise children. [applause] we have one of the lowest unemployment rates, one of the most highly educated work forces, and we are one of the healthiest states in the country. [applause] and we are a great state, because over the decades, we have worked together, democrats, republicans, independents, to craft a successful economic strategy that has made as a national leader in almost every area. we have worked together to move new hampshire for word. president barack obama understands that america works best when we all work together. [applause]
5:22am
and over the last two years the spirit of cooperation has been largely missing from public discourse. partisan bickering is at an all-time high in washington. vigorous debate is important, but our citizens expect all of us to behave with dignity and with respect. [applause] president obama understands that the people expect their elected officials to work together, to make progress on the issues that matter most to them, it -- improving education, increasing access to health care, and getting more of our people back to work. [applause] and that is why we need to work hard, to ensure that we reelect
5:23am
president barack obama. [applause] what makes the president such a strong leader is that he cares about people. he understands, as a leader, you treat people with dignity and respect. he understands the value of honesty and integrity. he understand that america should be a place of opportunity for all of our people, and not just a few of our people. [applause] and that is why his strategy for moving our country forward is focused on investing in our greatest asset, our people. he wants to insure everyone who wants a job can get a job here in america. [applause] that you can get the health care you need when you are sick.
5:24am
that your kids get the best education possible, and that the american dream continues to be in the reach of everyone who has the desire to want to work hard to reach that american dream. [applause] making smart investments in our people will help continue to lift this nation out of the economic recession and continued to move us forward. president obama has a clear vision for america and he has the passion, commitment, and leadership to get the job done. [applause]
5:25am
now nearly five years ago, our nation began to experience the worst economic crisis since the great depression. think about it. the worst economic crisis since the great depression. make no mistake, this recession was devastating to families and businesses across our great nation. our workers lost their jobs, companies shut their doors. to many families lost their homes, their health insurance, and their savings. we were hurting, and we were searching for hope. and here is where the president made a tough decision and provided the leadership that not only rescue the nation from the brink of economic disaster, but now has us moving forward. the president's economic policies cut taxes for the middle-class, ensuring every working family in america received a tax cut. [applause] he worked to extend much-needed and unemployment benefits. his actions helped 1 million families avoid foreclosure and allow them to stay in their homes.
5:26am
he took action to save the american auto industry, and just look at the results today. [applause] and he made a tremendous investment in our nation's infrastructure. all of these policies kept people working, kept economic disaster at bay, and begin the recovery. because of president obama's leadership, we have come a long way in just four years, but we have a long way to go. is there more work to be done? of course there is more work to be done. that is why we need president obama to continue the job he started and keep working for us for the next four years. [applause] >> four more years! four more years!
5:27am
>> president obama will make sure that we have a strong middle-class. president obama will keep investing in our workers to grow our economy and middle-class. president obama will insure we are caring for our most vulnerable citizens, children, those with disabilities, and seniors. president obama will make sure our children see the best education possible. president obama will continue to ensure anyone who wants to work for it can still reach the american dream. [applause] now, first lady michelle obama, who gave a great speech at the convention -- [applause] she said so well, she said, the president believes that when you work hard and have done
5:28am
well, and walked through that doorway of opportunity, you do not slam it shut behind you. he reached back and you give other folks the same chance of that help you succeed. i say we keep that door open by reelecting barack obama. [applause] and now, it is our pleasure and our honor to introduce the 44th president of the united states of america, president barack obama. [applause] ♪
5:29am
>> hello, new hampshire! [applause] it is good to be back in portsmouth.
5:30am
it is great to be with your outstanding gov. don lynch -- john lynch. who, like me, had the good judgment to marry up. we love susan as well. one of the best centers in the country, jeanne shaheen. your mayor eric spear. and your next congresswoman carol j. porter and and the customer. it is good to see all of you. [applause] it is great to be back in portsmouth. i was telling john -- i love you back. [applause] i was telling john i will always have great memories of portsmouth because one of the things that happens as you are running for president is the
5:31am
bubbles start closing in on you. i still remember some of the last places where i got to take a walk with nobody around. portsmouth, in 2007, was one of those places. it was a gorgeous day, like today. we walked and we came right down here. there was a theater, an improv thing going on. i think i may have bought some ice cream. which reminds me, by the way, the leanne and sasha love new -- malia and sasha love new hampshire, not only because this is where they go to camp. but it is also where they first campaigned with us, and i think the first day of campaigning, and they got ice cream four times in a row. [applause] today, they turned to michelle and me and said, we love this
5:32am
campaigning thing. we want to campaign with you all the time. [laughter] now, i have just come from charlotte, where we had a great convention. [applause] folks down there could not have been more welcoming. michelle was amazing. [applause] president clinton -- [applause] made the case in the way that only he can. somebody e-mail me after the speech and said, you need to appoint him secretary of explaining stuff. [laughter] that is pretty good. i like that. secretary of explaining stuff. splainin'.
5:33am
joe biden was fired up. [applause] and i meant what i said at the convention. i could not have a better vice- president. as importantly, i could not have a better and more loyal friend and joe biden. he is a wonderful, wonderful man. [applause] and last night i did my best to lay out the stakes in the selection. -- in this election. you see, now that both sides have made their argument, there is a big choice to make. and i honestly believe this is the biggest joys, the clearest choice of any time in our generation. because it is not just a choice between two candidates or two political parties, it is a choice between two different paths for america. two fundamentally different
5:34am
vision for how we move forward. ours is a fight for the basic bargain that build the largest middle-class and the strongest economy the world has ever known. the promise that hard work will pay off, that responsibilities will be rewarded, that everyone gets a fair shot, everyone doing their fair share, everyone playing by the same rules, from wall street, to main street, to washington, d.c. at bargain is why i ran for president and that is why i am running again. from wall street to main street, to washington, d.c. that basic bargain is why i ran for president and why i am running again. that is what this election is about. that is what this election is about.
5:35am
i mentioned last night, i got my start in service because i worked with folks who had been laid off from a steel plant when jobs started getting shipped overseas. over the last 10 years we have seen that happen more and more, too many families struggling, costs keeping rising even when paychecks to not. people have to use their credit cards or home equity loans to make the mortgage or pay tuition or put gas in the car or food on the table. that is why this house of cards collapsed in the great recession. millions of innocent americans losing their jobs and their homes, folks losing their life savings. we are fighting to recover from that. it is a long, tough journey. but our friends at the republican convention, they talked a lot about what they thought was wrong with america.
5:36am
they did not tell you what was right. they did not tell you what they would do to make it right. they want your vote, but they do not want to show you their plan. that is because they know their plan will not sell. because all they have to offer is the same prescriptions they have had for the last 30 years. tax cuts, tax cuts, but some regulations. and more tax cuts. tax cuts when times are good, tax cuts when times are bad. tax cuts to help you lose a few extra pounds. tax cuts to improve your love life. it will cure anything, according to them.
5:37am
now, let me tell you something. [cheers and applause] listen, i have cut taxes for people who need it, middle-class families. small-business owners. in 2008 i promised that i would slash taxes for middle-class families. i kept that promise. we have cut taxes for small businesses 18 times. but i do not believe that another round of tax breaks for millionaires is what is going to bring good jobs back to our shores or pay down our deficit. i do not believe firing teachers or taking students off financial aid will grow our economy, not when china is producing more engineers and science, and we have to compete with them. after we were on the brink of financial meltdown because of irresponsible decisions made on wall street, i do not believe rolling back regulations is somehow going to help small businesswomen and businessmen expand, or lay off construction workers, -- or laid-off
5:38am
construction workers get back to work. we have been there. we have tried what they're selling. it is not going to work now, we are not going back, we are moving forward. that is why you are all here today. i am not going to pretend that this path is quick or easy. by the way, i never have. as bill clinton reminded us on wednesday night, it will take more than a few years for us to solve challenges that were building up over decades. we know that. today we learned that after losing 800,000 jobs a month when i took office, business once again added jobs for the 30th month in a row, a total of 4.6
5:39am
million jobs. but that is not good enough. we know it is not good enough. we need to create more jobs faster. we need to fill the hole left by this recession faster. we need to come out of this crisis stronger than when we went in. there is a lot more that we can do. when congress gets back to town next week, you need to send the message, go ahead and give middle-class families and businesses the confidence of knowing that their taxes will not go up next year. everybody agrees that we should not raise taxes on the middle class. let's go ahead and get that done now. by the way, if the republicans are serious about being concerned about joblessness, we
5:40am
could create 1 million new jobs right now if congress would pass the jobs plan that i sent to them a year ago. jobs for teachers, for construction workers, jobs for folks who have been looking for work for a long time. we can do that. but i need your help. i need your voices. i appreciate that. i need you to get your cousins and your friends and your co- workers. look, i am not just asking for your vote, i am asking the entire country to rally around a set of goals for our country. goals of manufacturing, energy, education, national security, and the deficit. this is a real achievable plan. it will lead to new jobs and more opportunity and rebuild its economy on a stronger foundation.
5:41am
that is what we can do in the next four years. that is why i am running for second term as president to finish the job, to keep moving forward. to build on the progress we made. so let me be a little more specific. i have got a plan to export more products. not outsource jobs. after a decade of decline, this country created over half a million manufacturing jobs in the last 2.5 years. we have reinvented a dying art of industry that is back on top of the world. now americans, -- a dying auto industry that is back on top of the world. we can start rewarding country -- companies putting americans back to work, selling products around the world.
5:42am
[applause] we can help factories and small businesses double their exports. we can create a million new manufacturing jobs in the next four years. you can make that happen, but i will need your help. second, i have a plan to control more of our own energy. after 30 years of inaction, we raised fuel standards so by the middle of the next decade, your cars and trucks will go twice as far on a gallon of gas. that will save your money -- that will save you money. that will save you money. we have doubled our use of renewable energy -- solar, wind, biofuels. tens of thousands of americans have jobs today because they are building wind turbines, -- lasting batteries. -- long-lasting batteries. they did not mention the united states of america is less dependent on foreign oil than at any time in nearly two decades.
5:43am
the other side wants to reverse that progress. i want to build on it. i'm not going to let oil companies dictate the country's energy plan. i do not want them to keep collecting $4 billion a year in corporate welfare from our taxpayers. we have a better plan. we want to keep investing in wind and solar and clean coal technology. we want to see farmers and scientists harness biofuels to power our cars and trucks. i want construction workers sitting at home right now building homes and factories retrofitting those that are are rebuilt to save energy.
5:44am
we can develop a 100-year supply of natural gas right beneath our feet. if we choose this task, which can cut oil imports in half by 2020. we can support 600,000 new jobs in natural gas development alone. that is how we move forward. third, let's do it. let's do it. we can do this. we can do this. but, third -- i have got even more. [laughter] i have got a plan to give more americans the chance to gain the skills they need to compete. education -- i would not be standing here if i had not gotten a great education. michelle would not be here without the opportunities she had.
5:45am
we did not come from wealth or fame or power, in this country we have always made a commitment that if you have talent and are willing to work hard, somebody is going to give you the opportunity to get a great education, and then you can go as far as your genes can take you. it is the gateway to a middle- class life in the 21st century. what have we already done? the average state has entered our call to raise the standards of teachers and learning. some of the worst schools in the country have seen real gains in math and reading. millions of students are paying less for college because we took on a system where money was going to the banks and lenders. we said cut out the middleman and give the money directly to students so they get a better
5:46am
deal. so now you have got a choice. we can cut our commitment to education like the other side's budget would end up doing. or we can decide here in america, no child should give up grades because the classroom is overcrowded. no family should set aside the college acceptance letter because they figure they cannot afford it. and no company should be looking for the workers they need overseas because they cannot find them at home. new hampshire, i need you to help me recruit 100,000 math and science teachers and improved early childhood education and get 2 million workers the skills they need at community colleges and help colleges and universities cut tuition in half over the next 10 years.
5:47am
we can meet these goals together. that is the america that we want for our kids. forward, forward. i need four more years, and we are going to move forward. my plan would reduce our debt without sticking it to the middle class. the debt and the deficit are real medium and long-term problems, and we will have to address it. i want to get working. independent analysis shows my plan would cut our deficit by $four trillion. i have worked -- by $4 trillion. i want to reform our tax code so it is simple and fair, and so it asks the wealthiest
5:48am
households in america to pay higher taxes on incomes over $250,000. even well-to-do folks would keep their tax breaks up to $250,000, but after that we want to go back to the same rates we had when bill clinton was president, our economy created 22 million new jobs then. we had the biggest surplus in history and created a lot of new millionaires to boot. we created an environment with greater success all across the economy. that is what we are fighting for.
5:49am
you know, my opponent says he wants to reduce the deficit, too. but, as was pointed out at the convention, there is a basic component missing from his plan -- math. arithmetic. when governor romney tells us we can somehow lower our deficit by spending trillions more on new tax breaks skewed towards the wealthy, the math does not work. you cannot dig yourself a deeper hole, take $5 trillion out of the treasury and make that work. most of them involve sticking it to the middle class. i refuse to ask middle-class families to give up their deductions for owning a home or raising kids just to pay for another millionaire's tax cuts.
5:50am
i refuse to ask students to pay more for college or kick children out of head start programs, eliminate health insurance for millions of americans who are poor, elderly, or disabled. also, folks like me and mr. romney can pay less -- all so folks like me and mr. romney can pay less. you should not have to spend your golden years -- you should retire with dignity and respect. you have earned it. yes, we need to reform and strengthen medicare for the long haul, but we have to do it by reducing the actual cost of health care, not by dumping those costs on to seniors who pay thousands of dollars more. that is not how we are going to do it. and we will keep the promise of
5:51am
social security by taking responsible steps to strengthen it, but we will not privatize it or turn it over to wall street. we're not going to do that. rebuilding the economy is essential, but our prosperity at home is linked to what we do abroad. four years ago i promised to end the war in iraq, and it would -- and we did. i said we would wind down the war in afghanistan, and we are. a new tower rises above the new york skyline. we have decimated al qaeda's leadership and osama bin laden. now moving forward, as commander in chief, i will sustain the strongest military world has ever known. we are going to make sure we have a strong navy, and what
5:52am
goes on here, all across the country, where we have people not only in uniform but also folks who are working -- we have to make sure they have our support. when our troops take off their uniform, we are going to serve them as well as they have served us. because nobody who fights for this country should never have to fight for a job or a roof over their heads or the care they need when they come home. my opponent said it was tragic, the war in iraq. -- to end the war in iraq. i disagree. he will not tell us his plan for the war in afghanistan. i have and i will. while my opponents would say they would spend more money than the joint chiefs would say, i will use that money that we are no longer spending on war to pay down our debt and put more people back to work -- rebuilding our roads, bridges,
5:53am
schools, runaways. it is time to do more nation- building right here at home. right here in new hampshire. that is the choice that we now face. that is what this election comes down to. we keep on getting told that bigger taxes and fewer regulations are the only path to prosperity. i do not believe that. i do not believe that if you cannot afford health insurance, you are on your own. companies that released toxic pollution in the air that your children brief, that somehow that is a requirement for economic growth.
5:54am